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Angel Investments: A Financing Option for Economic Transformation in Nigeria

Author

Listed:
  • Appah Ebimobowei
  • Okoli Margaret Nnenna

Abstract

The study on Angle Investment as a financial option for economic transformation is a high net-worth private equity investors who invests her capital in start-up companies in exchange for equity share of the business. The study seeks to evaluate individual investors who have the desire and sufficient high-net-worth to enable them to invest part of their net worth into high risk. The empirical evaluation revealed many important things to know about angel and these includes many angels are in most of cases former business entrepreneurs themselves. Angel bring both capital and mentoring to the start-up company. The business angel see themselves as playing important roles in the assemble of human society by serving and making returns on their investment while taking a high risk. Angel gives access to networks and new potential customers. The study also revealed that Angel Investment are extremely difficult to measure the size of the market or number of investment by Business Angel. Some recommendations on the study own view of their impact were, amongst others, their provision of experience with handling unforeseeable events and their strategies for avoiding their own prior mistakes. This is consistent with Macht (2006). Therefore, it is widely acknowledged that business angels play a vital role in the development and growth of new ventures, in terms of both the financial capital they invest as well as offering their business skills and personal networks they have acquired throughout their professional lives (Mason 2006; Kelly 2007).

Suggested Citation

  • Appah Ebimobowei & Okoli Margaret Nnenna, 2013. "Angel Investments: A Financing Option for Economic Transformation in Nigeria," International Journal of Management Sciences, Research Academy of Social Sciences, vol. 1(9), pages 341-348.
    • Handle: RePEc:rss:jnljms:v1i9p3
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    References listed on IDEAS

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