Member Article

Potential business angels urged to come forward

A new campaign aimed at attracting wealthy individuals to become angel investors has been launched with the support of government.

Business angels invested £1bn in small and medium sized businesses prior to the credit crunch last year, according to the British Business Angels Association (BBAA).

The organisation has also recorded a 40-50% increase in demand for angel equity across its network as a result of the decrease in available loan finance and venture capital funding.

The BBAA is now launching a major national campaign, backed by the Department of Business Enterprise and Regulatory Reform, to encourage high net worth individuals to become angel investors.

“We know there are many people out there with both wealth and industry knowledge to become effective angel investors,” said BBAA chairman Anthony Clarke.

“The current downturn will have increased the number of people available with relevant experience who could consider becoming angel investors. We need to mobilise and support individuals, both men and women, to leverage their financial and business capacity to make savvy investments and help build successful companies.”

The campaign will include the promotion of tax relief for investors under the EIS scheme, as well encouraging the development of co-investment funds to support angel syndication.

This was posted in Bdaily's Members' News section by Ruth Mitchell .