Salim,who runs a business,decides to invest in a high-technology inventor that has not developed a prototype yet.He requires about $60,000 and opts to seek an investor who adds more than money to this project.However,he realizes that the evaluation provided by this type of investor is not likely to be thorough.Which of the following does Salim consider as a potential investor for the new venture?

Question

Quizplus · Accepted Answer

An angel investor is an individual who provides financial backing for small startups or entrepreneurs, usually in exchange for ownership equity in the company. They often have expertise in the industry and can provide strategic guidance and mentoring, which is what Salim is looking for. The other options, such as contributions from friends and family, advance payments from customers, and credit lines from a bank, may provide funding but are unlikely to provide the additional value that Salim is seeking from an investor.

Salim,who Runs a Business,decides to Invest in a High-Technology Inventor