Angel funding vs. venture capital: Which is right for you?

05/24/2010 | Wall Street Journal, The

Angels generally provide seed or early-stage funding to a small business and often take a mentoring role. Venture capital firms, which invest money from institutions and other sources, have a fiduciary duty to maximize returns, so they typically seek a more active role in the company. Both look to invest in companies in prosperous industries and look for a viable exit strategy.

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