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[quote=Anonymous]This isn't how actual angel investment works. 
I worked for an angel fund.
Unless you do debt, with a stated return and terms that say you sre made whole in subsequent rounds, what happens is either the startup goes bust and your stock is worthless, they are living dead begging you for more just to get over the hump...repeatedly...or

They are successful and can get venture investment Round A  in which case your stock % is hammered down to nothing unless you can invest your pro rata share at the new evaluation...and again in Round B...

Or they are acquired and that can be ok because you get your shares bought hopefully preferred shares, at some profit.

If it's something like an up and running business like a dry cleaner or lawn service or something with actual revenues, your "angel investment" is either a loan with specified terms of repayment with interest OR you are buying a % of the firm and a % of the profits. But why do they want your money? Expansion or to keep from going under?

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