the startups.com platform about startups.comCheck out the new Startups.com - A Comprehensive Startup University
Education
Planning
Mentors
Funding
Customers
Assistants
Clarity
Categories
Business
Sales & Marketing
Funding
Product & Design
Technology
Skills & Management
Industries
Other
Business
Career Advice
Branding
Financial Consulting
Customer Engagement
Strategy
Sectors
Getting Started
Human Resources
Business Development
Legal
Other
Sales & Marketing
Social Media Marketing
Search Engine Optimization
Public Relations
Branding
Publishing
Inbound Marketing
Email Marketing
Copywriting
Growth Strategy
Search Engine Marketing
Sales & Lead Generation
Advertising
Other
Funding
Crowdfunding
Kickstarter
Venture Capital
Finance
Bootstrapping
Nonprofit
Other
Product & Design
Identity
User Experience
Lean Startup
Product Management
Metrics & Analytics
Other
Technology
WordPress
Software Development
Mobile
Ruby
CRM
Innovation
Cloud
Other
Skills & Management
Productivity
Entrepreneurship
Public Speaking
Leadership
Coaching
Other
Industries
SaaS
E-commerce
Education
Real Estate
Restaurant & Retail
Marketplaces
Nonprofit
Other
Dashboard
Browse Search
Answers
Calls
Inbox
Sign Up Log In

Loading...

Share Answer

Menu
angel investing: Seed raise on angelist via convertible debt note?
TW
TW
Tyler Willis answered:

There's no reason for you to avoid raising using a convertible note. There are plenty of investors who prefer priced rounds, but for the stage you're at, none of these folks will be involved in the deal.

However, you mention using AngelList. I'm not sure if you intend to try and source that 50k from AngelList -- if so, I'd recommend against that. For such an early part of the raise, you're far better off looking for people already in your network. AngelList's syndicate or Invest Online features are usually more successful for entrepreneurs that already have some fundraising traction and are looking to fill out their round.

If you're looking to find that first investor, there are some ways to use AngelList that could help:
1. You can apply to incubators using AngelList (a great choice, especially if you're not well networked to investors today)
2. You can create a better offline target list of investors by location, category, #/type of investments, etc.
3. You can follow investors, and hope they get intrigued (make sure to list your company and short pitch in your bio)
4. You can more easily identify which investors you may already be connected with via a friend
There are probably a handful of angels, like Sundeep Ahuja, who have published a way for Startups to get in touch

I find it easiest to think of AngelList as programmatic infrastructure for traditional investing decisions - it doesn't change the way investors make decisions, or the strategy you should take to raise financing (at least, it hasn't changed that yet).

Getting your first good investor or two is still much harder than filling folks in after them. The best way to find your first investor is still personal network or introductions.

Talk to Tyler Upvote • Share
•••
Share Report

Answer URL

Share Question

  • Share on Twitter
  • Share on LinkedIn
  • Share on Facebook
  • Share on Google+
  • Share by email
About
  • How it Works
  • Success Stories
Experts
  • Become an Expert
  • Find an Expert
Answers
  • Ask a Question
  • Recent Answers
Support
  • Help
  • Terms of Service
Follow

the startups.com platform

Startups Education
Startup Planning
Access Mentors
Secure Funding
Reach Customers
Virtual Assistants

Copyright © 2025 Startups.com. All rights reserved.