Jobs Plus in Spokane recruiting ‘angel investors’

Jobs Plus is forming a local network of "angel
investors" to funnel cash into promising startup
companies.

Becky Kramer – Staff writer Spokesman Review

Angel investors typically provide smaller amounts of
cash than venture capital funds, said Steve Meyer,
who is heading the group.

Investments usually run between $25,000 and
$100,000, compared with a venture capital fund
where investments are usually $1 million or more, he
said.

So far, about 15 investors have expressed interest in
belonging to the network.

"There isn’t a shortage of money," Meyer said. "The
shortage is promising entrepreneurs."

The role of Jobs Plus would be to introduce
entrepreneurs to potential investors, who would
decide whether to put up the cash.

Angel investors often play a mentoring role in the
companies. But the arrangement isn’t for everyone,
Meyer said.

Investments are set up with an exit strategy — a
rough time line by which investors recoup their
money when the company is sold or goes public.

Someone who wants to start a company and pass the
ownership to their children, for instance, wouldn’t be
a good candidate, Meyer said.

http://www.spokesmanreview.com/news-story.asp?date=032002&ID=s1118558&cat=section.business