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Investment Characteristics - Firm Size 3.7
A ngel organizations predominantly invest in small businesses with growth potential, mostly those with 1–5 or 6–10 employees at the time of investment, accounting for 43% and 25% of investments in 2021, re- spectively (Figure 18). This concentration of investments in small companies is consistent over time. However, some angel investments are in larger companies (with
over 25 employees). This highlights the role that angels play in investing early in the financing life cycle of entre- preneurial businesses, providing not only the first round of external finance, but also follow-on investments in businesses that are in the early stages of scaling up.
2022 ANNUAL REPORT ON ANGEL INVESTING IN CANADA
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