A wealthy individual who invests personal funds in a startup in exchange for an equity share in the business is referred to as a:Question 5Answera.crowdfunder.b.incubator.c.angel investor.d.venture capital investor
Question
A wealthy individual who invests personal funds in a startup in exchange for an equity share in the business is referred to as a:Question 5Answera.crowdfunder.b.incubator.c.angel investor.d.venture capital investor
Solution
The correct answer is c. angel investor.
An angel investor is a person who invests their own funds into a startup or small business, in exchange for equity or ownership stake. They are often successful entrepreneurs themselves, and they can provide valuable advice and connections in addition to funding. They are called "angel" investors because they often invest in risky, unproven business ventures that most other types of investors would avoid.
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