As a web entrepreneur who has done all his own funding, I have not needed the help of a Venture Capital Firm or Angel Investor. That said, it would be nice to meet and start networking with these guys. Last night I met 2 guys in Denver who are creating their own web startup and we talked a bit about funding. They told me about some companies that are offering young entrepreneurs early capital ($5,000 - $20,000) to get things up and running in exchange for small equity stakes. These programs, they tell me, provide consulting, legal assistance and more! While good for younger guys with smaller need, at this point I’m in need of a bit more then $20,000 in capital to take some of my ideas to the next level.

I discovered and started going through the Angel Investor Directory from Inc. Magazine. It is definitely a good start for anyone doing a VC search. About.com has a good article about how to find an angel investor, which covers 5 key points:

1. Know who you’re looking for.
2. Look close to home.
3. Network, network, network.
4. Realize that many angels don’t fly solo.
5. Use the connection services available on the Internet.

For someone with little VC/Angel Investor knowledge, this is a great start. The piece has some good resources and is worth a look.

On a similar note, I found a great blog post, 7 Tips For Obtaining Angel Investor Funding, that has a few additional points. The main points (you’ve got to read the post to get the full deal) are:

1. Have a Solid Business Plan.
2. Attend Investor Forums.
3. Talk to a Start-up Company That Recently Got Funded.
4. Learn From Each Investor That Says, “No, We Can’t Fund Your Company.”
5. Have a Professional Looking Website.
6. Write Articles to Establish Your Name in Your Particular Field.
7. Join One or More Associations.

These 2 articles have been a great start for me and should be helpful for anyone else starting out in the world of locating startup capital.

Note: As a result of one of the posts, I decided to find a local VC group and will be attending the OpenCoffee Club in Boulder, CO on April 10. I’ll let you know how it goes.

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