Research Outline

Angel Investor Returns in the US

Goals

To find the typical angel investor returns and other statistics in the US in order to gather information for a blog article.

Early Findings

  • In the US, the overall internal rate of return (IRR) for angel investors is around 27%.
  • The typical rate of failure is around 60%. This means that the success rate is about 40%.
  • The average number of investment for an angel is 11.4 companies. For veteran angel investors, it is 14.2 companies.
  • An angel investor typical holds an investment for a period of 4.5 years.
  • Larger returns (greater than 10 times) typically take over 10 years to materialize.
  • 60% of angel investments in 2019 were between $2.5million and $8million while 33% were over $8million.