Advent of new angels spurs rush of bite-sized cheques

Investments of as little as ₹50,000 are surging in India's expanding startup ecosystem as the fear of missing out and easier access to deals spur a new wave of angel investing.

- Mansi Verma & Priyamvada C.

While some are making micro-investments, the majority of angel investor cheques now falls in the range of ₹3-8 lakh, according to industry experts. Such investments are outpacing the deals typically made by wealthier investors and prominent startup founders, signalling a broader shift towards smaller angel bets.

"We do have a smaller group of investors writing larger cheques of ₹35-50 lakh, often second-generation family office individuals who are getting in early. However, the number of deals at this higher ticket size is comparatively lower," said Padmaja Ruparel, co-founder of Indian Angel Network (IAN), a platform for seed and early-stage investment.

Ruparel said most investors prefer to put in ₹5-7 lakh because it balances risk at the early stage. The average ticket size for most angel funds that Mint spoke with is not higher than ₹9 lakh-about ₹5-7 lakh for IAN, and ₹6-8 lakh for platforms such as AngelList.