ZIPHO SIKHAKHANE: Angel investors must let start-ups learn from mistakes
The smallest cash infusion can make a big difference
It is puzzling that early-stage investing in new businesses in South Africa is not growing as fast as it should, irrespective of economic factors. It stays low year on year even with initiatives to foster an uptick, from the section 12J venture-capital class introduced by the state, to various "angel investor" networks driven by private investors. We cannot wholly place the burden on investors - entrepreneurs need to play their part in being investor-ready and having the guts to put themselves out there and find the right financial supporters. This step is difficult for many, especially since being at an early stage might mean you have no clue how to present yourself and your product in an investable way. Let us also put it down to the low levels of understanding nationwide of what it means to be an investable entrepreneur. Unless you are in a big city, with easy access to the great programmes available, your chances of learning how to be investor-ready are slim. The factors that li...
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