Venture Capital

[caerus]

Hi everyone, just joined the forum. Read 4hww last month...

Anyways, I am having difficulties finding a muse. As great as the concept of having an automated internet based business is...to me it seems the market (for the majority of my interests) is extremely saturated. So creating something innovative seems impossible.

Fortunately I have had success in business in the past. I ran my own marketing and promotions company before selling up a year ago. This past year lets say I took a well deserved break (mini retirement). However I am now recharged and ready to do something once again.

As am still sitting on a small wall of cash...I am enticed to invest in start-ups. I believe Tim Ferriss is doing the same (according to wikipedia). However, I have no idea how to enter this field. I was wondering if anyone on the forum is involved in this area or has any idea on how I can get involved. Are there societies you join? How do businesses find the Angels?

I am not particular about what field/sector I invest in as long as it has strong potential.

any help is much appreicated.

Caerus

[webgal]

I don't know how you find them unless you are working through business consultants. I know they often have projects that need funding and business plans for them.

So identifying business consultants in your area would be a start.

[Marcie]

Hi - you might want to watch this:

http://www.fourhourworkweek.com/blog/2009/03/31/kevin-rose-and-tim-ferriss-discuss-naming-companies-angel-investing/

Although I am not sure it answers your question entirely. I think he finds the companies he invests in through connections/networking.

[Sven]

The last few monthst confirmed to me the first rule of investments:

Do not invest in what you do not understand.

[caerus]

thanks for your reply.

the video was helpful. If anyone else is investing as an Angel or is interested in doing the same...please let me know....we can bouce a few ideas off each other.

Cheers

[maxpr]

I find tech (especially web-based app's) to be a tough nut to crack.

It is very difficult for many org's to develop a substantial profit structure (first example coming to mind; Twitter). They market the heck out of it but I have yet to figure out how they plan to make money on it unless they make it a paid/subscriber only service; sort of like how the neighborhood crack dealer might give you a small taste to develop a like for it then pop you in the wallet for the next hit :)

Same goes for facebook. The investment was quite large (later on not when it was founded) for what my understanding is not much profit to date as was initially expected. Same story with Myspace etc...

I would personally rather invest in a concrete industry or human necessities i.e. "tangibles" (food, water, housing etc).

[nghs22]

My company/muse, The GMAT Coach is currently seeking angel investors as we continue to grow. Don't know if you are interested, but you can PM if you think you might be.

www.thegmatcoach.com

[DaveCraige.com]

there is also venture philanthropy which is pretty cool.

check out www.AcumenFund.org , they do great work

[BizWiz]

I have sent you an email. Real business, hard work, 5 years and still going :)

[pinc.me]

One of the reasons you don't hear about good venture capital ideas is because those with the best opportunities are licensed and not allowed (literally, not allowed) to mention it to you--Kleiner Perkins doesn't take new clients, well, they did take Colin Powell, but...so you have to know someone who knows someone. Tim mentions several of the Midas 50 venture cap firms in his book, highly inaccessible deals, typically. The best deals go to the best VC firms, and most people, even if they are accredited and have $$ don't have access to the investments. Generally people raising money for their own companies are exempt, so they are glad to sell you shares, but then you have a due diligence project (nightmare) on your hands, unless you just like to gamble, or have a lot of time and interest, and I mean a lot. If the idea was so great, why didn't they go to great firms to get fast and plentiful venture funding???

I am new here, trying to figure out how to ask about my business, which includes venture capital opportunities (for those who qualify and who come to me to ask and prove to me they are qualified to receive information, even though they have no idea I have this access--thank your federal government).

While you sound like a "high net worth" individual, therefore all the predatory financial services salespeople are looking for you, I have a business model which works brilliantly for the high income, or "highly taxed." Not necessarily the same as high net worth. Would you be willing to trade some ideas?