James Badgett in Spears Wealth Magazine

The youngest individual profiled in a Spear’s Index to date, James Badgett is the managing director and co-founder of London-based Angel Investment Network, the UK web-based service that matches angel investors seeking investments with entrepreneurs seeking capital.

Crucially, the latter deal directly with the former. Where other angel clubs might charge commission, AIN does not. The service is free to investors, while fund-seekers submit their proposals for free, paying only £99 to contact the investor once an interest has been declared. Six thousand fund-seekers have so far signed up to the UK site alone.

There is no minimum investment. Some of the 3,500 UK investors have parted with as little as £2,000, while amounts in excess of £250,000 are not uncommon. Investors provide background information about themselves and once they contact a fund-seeker whose proposal interests them, the site forwards the investor’s profile to that seeker by way of introduction.

‘All we are doing is providing a platform, acting as the middle man,’ says Badgett. ‘Except for our speed-pitching events (where entrepreneurs pitch to a room full of investors: “a fast and effective way of finding the capital you need") it’s very much hands off.’

A recent economics graduate from Bristol University, Badgett launched the network in 2004 with Canadian Brian Perry, who simultaneously launched the company’s Canadian portal. AIN has sites in France, Germany, Spain, Portugal, Ireland, India, South Africa, Australia, New Zealand, and Brazil, and numerous regional sites in the US, including ones in Florida, California, the Mid-West and New York. More are in the pipeline.

‘We see ourselves as a starting block,’ says Badgett. ‘We might not be able to help fund-seekers find all of their money but if they’re looking for £100,000, we can help them find the £10,000 that gives them just that little bit more leeway.’

Badgett believes their success lies in pitching to a different client base. ‘This market was originally centred around the 50- or 60-year-old retired executive, which more traditional firms did not think operated online. But we know, and our success has shown, that there is a market out there for investors of any age who are savvy on the net.’

All sites operate on a national level and are interlinked with one another. Entrepreneurs choose which country they want their proposal circulated around, while investors can either keep their selection to within their nation state or choose to receive proposals from any of the AIN servicing countries.

URL : http://www.spearswms.com/spears-indices/business-angels-index/3026/james-badgett-angel-investment-network.thtml