Angle capital is a term that is commonly used in the world of finance and investment. It refers to the capital that is provided by angel investors, who are wealthy individuals that invest in start-up companies or entrepreneurs in exchange for ownership equity or convertible debt. In this article, we will explore the definition and meaning of angle capital in detail.
Definitions
Angle capital is defined as the capital that is provided by angel investors to start-up companies or entrepreneurs. It is a type of private equity that is invested in early-stage companies that have the potential for high growth. Angel investors typically invest in companies that are in their early stages of development and have not yet reached the stage of being able to raise funds through traditional sources of financing.
Origin
The term “angel investor” was first used in the early 20th century to describe wealthy individuals who provided financial support to Broadway productions. The term “angel capital” is believed to have originated in the 1970s, when a group of wealthy individuals in Silicon Valley began investing in start-up companies in the technology industry.
Meaning in different dictionaries
According to the Merriam-Webster dictionary, angel capital is defined as “capital invested by an angel investor in a start-up company.” The Oxford English Dictionary defines it as “the capital provided by angel investors to early-stage companies.”
Associations
Angel capital is associated with early-stage companies and entrepreneurs who are seeking funding to develop and grow their businesses. It is also associated with high-risk investments, as start-up companies are often unproven and may not succeed.
Synonyms
Some synonyms for angel capital include seed capital, start-up capital, and early-stage capital.
Antonyms
There are no direct antonyms for angel capital, but it can be contrasted with traditional sources of financing such as bank loans, venture capital, and public offerings.
The same root words
Angel capital does not have any root words, but it is related to the term “angel investor,” which refers to the wealthy individuals who provide the capital.
Example Sentences
- The start-up was able to secure angel capital from a group of investors in Silicon Valley.
- The entrepreneur used angel capital to develop a prototype of their product.
- Angel capital is often the only source of funding for early-stage companies.