Thoughts on venture capitalists vs. angel investors

Our good friend Jim Estill, founder of Synnex Canada, wrote a great blog post weighing in on the differences between venture capitalists and angel investors. We agree – the lines between the two categories of equity (taking a piece of your business) funding are blurry.

However, to me the main difference between the two not mentioned by Jim is the “patience” factor. Angel money is patient money. Well, at least more patient than VC money. VCs want the big return – fast. VCs want the elusive five or ten time original investment return on their money. On the other hand, angels are satisfied with a longer payout and lower rate of return.

Great post, Jim, and good food for thought when it comes the different motivations behind angel vs venture capitalist investment! Check out Jim’s post here.

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