Convincing someone to risk money is often the first tangible evidence that a new technology has real market potential. While there’s no shortage of impressive new technologies or startups in Israel today, money to kick them up a notch is in short supply. Private investors took a hit during the recession, but the Israeli angel community is bouncing back and becoming increasingly sophisticated as it expands to include people who made their fortunes in the hi-tech/biotech sectors and understand the business.
Since angels frequently provide more than money to new ventures, these experienced players often help young companies save precious time and money by steering them through regulatory mazes and leveraging contacts to secure the additional resources needed to propel projects forward. But what’s in it for angels? What motivates them to invest in risky ventures that often fail or take years to yield a return on investment? If you’re an ambitious young scientist with promising ideas of your own, read on.