Angel groups have grown significantly in the last decade, as more and more organizations have been established and more individual angels have joined the groups. Angel groups now exist every American state and Canadian province. In May of 2008, the Angel Capital Association listed 165 members. Recently the Angel Capital Education Foundation listed 281 Angel groups in 49 US states and Canada. The only state not represented was Louisiana. That number is now 282 with the addition of South Coast Angel Fund, which represents Louisiana on that list.

The term “angel” originated in the early 1900s and referred to investors who made risky investments to support Broadway theatrical productions. Today, the term “angel” refers to high-net worth individuals, or “accredited investors,” who typically invest in and support start-up companies in their early stages of growth.

Angel groups offer accredited angel investors the opportunity to invest in and help build successful companies – while also having a good time. Every group is different in terms of investment strategy and culture, but Angel groups offer interested investors a variety of benefits such as:

1. An expectation of a significant return on their investment.

2. A disciplined approach to investing imposed by a both the due diligence process and the diversity of expertise provided by a group of members with various backgrounds.

3. Lower risks by diversification of investments.

4. Social benefits in meeting and working with other successful individuals. Participation in the screening, due diligence or monitoring teams is an enjoyable, educational and rewarding experience.

5. A strong sense of satisfaction from aiding and mentoring entrepreneurs.

6. Investments Louisiana businesses may qualify for Louisiana Tax Credits such as the Digital Interactive Media Credits and other Louisiana incentive programs.