Explain Angel Financing.

CA Intermediate · Financial Management and Strategic Management · PYQS · September 2024
Explain Angel Financing.

Suggested Answer and Working Notes:

Angel Financing is a form of an equity-financing in which individual or a group of individuals provides capital to entrepreneurs and early-stage businesses, or start-ups, in exchange for an ownership/equity in the company. They may provide a one-time investment or an ongoing capital injection via a series of investments. Angel investors are looking for a higher rate of return than what is given by traditional investment

Topics: Part-A: Financial Management

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