What term describes wealthy investors who provide capital and hands-on support to high-growth startups?

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Multiple Choice

What term describes wealthy investors who provide capital and hands-on support to high-growth startups?

Explanation:
We’re looking for individuals who invest their own money into early‑stage, high‑growth startups and also offer practical help, mentorship, and useful connections. This combination of financial backing and active involvement is what a business angel does. They fill a gap when large institutions aren’tFunding early on, and they typically take an equity stake while providing strategic guidance. This distinguishes them from venture capitalists, who are funds investing other people’s money and often operate at a larger, more formal scale, and from government grants or bank loans, which don’t involve personal equity or hands‑on mentorship.

We’re looking for individuals who invest their own money into early‑stage, high‑growth startups and also offer practical help, mentorship, and useful connections. This combination of financial backing and active involvement is what a business angel does. They fill a gap when large institutions aren’tFunding early on, and they typically take an equity stake while providing strategic guidance. This distinguishes them from venture capitalists, who are funds investing other people’s money and often operate at a larger, more formal scale, and from government grants or bank loans, which don’t involve personal equity or hands‑on mentorship.

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