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How Many Angels is the Right Amount for a Startup to Have?

Both Sides of the Table

After they see a name they trust, everybody wants to invest” It’s called “ social proof ” and it’s a good thing for entrepreneurs. But we’ve gotten the point where ENIFA and they will invest with no information based solely on the name of who else has invested. I agree up to a point.

Cap Table 150
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Why You Don’t Want to Give Financial Information to All of Your Investors

Both Sides of the Table

There’s another issue I can add to your list of things to be aware of – information rights. I am generally a fan for providing management updates periodically for all investors but in doing so you must assume that what you send out will get read by others and thus hold back on your most sensitive information.

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