A Comprehensive List Of Angel Investors That Fund South African Start-Ups

An angel investor is usually a high net-worth individual or group that provides capital to start-ups. They are referred to as angels because they are willing to invest their personal funds into a struggling higher risk business, when no one else will. Just like funds and incubators, some angel investors will focus on a specific industries.

What is an angel investor?

“Angel investors got their name 100 years ago in New York City when struggling playwrights – with limited financial means – had theatrical productions funded by a wealthy and visionary individual usually at the last minute,” explains David Newton, professor of entrepreneurial finance and author of four books on both entrepreneurship and finance investments.

He says that this generosity was associated to angels floating down from heaven with money so the show could go on. However, these angels were astute investors with keen eyes for investments that would achieve high profits. Angels fund a business to get in on the ground floor of an opportunity for financial gain.

The difference between an angel investor and a venture capitalist

Venture capital funding usually comes from a firm with people selected to help your business develop. Venture capital firms are comprised of professional investors. The capital is generated from a variety of sources such as corporations and individuals, private and public pension funds, and foundations.

A venture capital firm is looking for businesses with high growth potential. They will then buy shares and have a say in the future of a business, in exchange they expect a high return on investment.

The pros and cons of choosing an angel investor

The funding an angel investor can bring to the table could make all the difference in getting your start-up off the ground, but there are a few trade-offs you need to be aware off:

The pros

• Angel investors are usually entrepreneurs themselves, who understand the level of risk involved in investing with you, and so they won’t require you to jump through as many hoops as with a typical business loan.
• An angel investor will offer you capital in exchange for an ownership stake, which means you won’t have to repay their investment.
• Angel investors bring years of expertise and already understand the challenges your business will need to overcome before reaching success.

The cons

• The cons of an angel investor taking on high risk start-ups is they usually have high expectations. It isn’t unusual for an angel investor to expect a rate of return 10 times their original investment within the first 5-7 years.
• Offering up a portion of ownership to the angel investor can limit your start-up’s capability of realising a profit, if you don’t carefully assess the terms.
• The angel will want to take an active part in making decisions, or they’ll want you to explain the reasons behind some of your decisions.

Here is our comprehensive list of 43 angel investors interested in South African start-ups:

1. Ernst Hertzog
2. Brett Mason
3. Avi Eyal
4. Joel Gascoigne
5. Brett Dawson
6. Michael Leeman
7. Lawrence T Levine
8. Saul Klein
9. Mohamed Nanabhay
10. Sean Emery
11. Vinny Lingham
12. Bukola Jejeloye
13. Kresten Buch
14. Abu Cassim
15. Pardon Makumbe
16. Charles Lorenceau
17. Justin Stanford
18. Zachariah George
19. Daniel Guasco
20. Craig Raw
21. Rob Stokes
22. Mark Levitt
23. Alvin Singh
24. Dean Cannell
25. Llew Claasen
26. Ari Lustbader
27. Tommy Chia
28. Mark Pretorius
29. Henk Kleynhans
30. Michael Jordaan
31. Dotun Olowoporoku
32. Abrar Ahmad
33. Michael Greve
34. Wayne Gosling
35. Jordan Wainer
36. Paul Brown
37. Dan Stephenson
38. Malcolm Gray
39. Richard Rose
40. Mark Forrester
41. Shlomi Podgaetz
42. Jesse Hemson-Struthers
43. Cassian Coquelle and Hendrik du Preez and Andre Bottger
44. Angel Investor Networks