Alternatives & angel investing
Angel investing as a founder
Backing other startups when you already run one: when it helps, and when it just doubles your risk.
Should I angel invest while running my own startup?
Be very cautious, and if you do it, do it small. Angel investing is appealing (you understand startups, and you want to back friends), but it doubl...
How much should I set aside for angel investing without hurting my own startup or my family?
Treat angel money as cash you can lose entirely and still sleep. As a founder you already carry huge, concentrated risk in your own company, so ang...
How do I quickly evaluate a startup before I angel invest, when I barely have time?
As a founder you have an edge and a trap: you understand building, but you are short on time and prone to backing people you simply like. Keep it s...
What taxes do I pay on angel investments in India when I eventually exit?
Broadly, when you sell shares in a startup you backed, the gain is taxed as capital gains, and the rate depends on how long you held and whether th...
What happens to my angel investments if my own startup suddenly needs cash?
You cannot easily pull that money back out. Angel investments in private startups are highly illiquid: there is usually no buyer, no fixed exit dat...
How do I handle it emotionally when a startup I backed shuts down?
Expect it. Most early startups fail, so if you angel invest for long enough, watching some of your bets go to zero is normal, not a sign you are ba...