While both angel investors and venture capitalists provide essential funding for startups, their roles and approaches differ significantly:
Source of Funds: Angel investors use their own money, while venture capitalists manage pooled funds from various investors. Investment Stage: Angel investors typically invest at the seed or early stages, whereas VCs usually come in during later stages of growth. Investment Size: Angels often invest smaller amounts compared to VCs. Level of Involvement: Angels might take a more hands-on approach, offering mentorship and advice. VCs, on the other hand, might focus more on financial returns and strategic guidance.