Private offerings raise more money on an annual basis than public offerings. \u00a0There is a common misconception that public companies raise more money. \u00a0The reality is they do not, in part because of active angel investors. \u00a0Angel investment groups meet throughout the company in order to review business proposals, private placement<\/a> offerings, and speak with entrepreneurs. \u00a0If you are looking to raise capital through a private placement, attending these meetings can help to get the ball rolling.<\/p>\n Here is the process for presenting to an Angel Investment Group or angel investors.<\/p>\n Submit an Application to Present<\/strong><\/p>\n Most Angel Investment Groups or angel investors require you to complete a formal application. \u00a0This application contains information on your company, your financials, officers, and what you are trying to accomplish. \u00a0This is typically a paper application that reads like a mini offering statement. \u00a0They can be up to ten pages long and enable you to summarize your investment opportunity. \u00a0A committee will review your application and, if approved, invite you to present. \u00a0This process can take around 60 days so if you apply in November don’t expect to present until January.<\/p>\n Prepare Your Presentation<\/strong><\/p>\n Each group sets a timeline for presentations. \u00a0They are typically under ten minutes long with a follow up Q&A. \u00a0You need to convey information in a clear and concise fashion. Many companies make the mistake of being too boring. \u00a0A room full of investors, listening to pitch after pitch, may find it difficult to get excited about your product or technology when you give them a million financial slides. \u00a0Break up your presentation with graphic images, video clips, customer testimonials, and product demonstrations. \u00a0If investors can hold something or interact in some way it will be easier for them to understand what your company does.<\/p>\n Prior to presenting evaluation the strengths and weaknesses of each member of the team. \u00a0Select individuals that can discuss your ideas with authority. \u00a0Don’t have the product engineer talk about finances or the CFO talk about design. \u00a0Select the right people to cover the areas they are experts in.<\/p>\n Financial Documentation<\/strong><\/p>\n Investors want to know what is in it for them. Make sure that you have solid financial data to back up where your company is today, where you are going, and what it will take to get you there. \u00a0If you are trying to raise $1 million demonstrate how that money will impact the company and the profits that will be generated as a result. Graphs demonstrating growth and ROI can be helpful.<\/p>\n Company Valuation<\/strong><\/p>\n Don’t overvalue your company. \u00a0This one mistake can scare off investors and prevent them from participating in your private offering. Remember that your company needs to be valued based on its performance today – not its performance after the investment. \u00a0Investors should get the benefit of the lift that is created by implementing their capital.<\/p>\n