What Is Angel Investing?

An angel investor is an individual who invests personal capital into an early-stage private company, usually before institutional funds participate. Checks commonly range from a few thousand dollars to a few hundred thousand.

Angels typically invest through a SAFE or a convertible note at the earliest stages, and through priced equity rounds slightly later. They are often chosen by founders for reasons beyond the money: domain expertise, customer introductions, or credibility with later investors.

Angel investing is subject to eligibility rules that vary by jurisdiction and by offering type. Some private offerings are limited to accredited investors. Others, conducted under regulated crowdfunding exemptions, are open more broadly with investment limits. Eligibility is determined by the offering and the platform conducting it, not by interest.