Angel investors - Who they are and how to win them over

Introduction

Raising investment at the early stage is never easy — but in today’s tighter funding landscape, founders must be more thoughtful and strategic than ever. With angels now receiving 30–50 applications per month, and only 1–2 getting a chance to pitch, making a strong first impression is not optional — it’s essential.

This guide combines practical advice with insights shared directly by UK-based angel investors, so you can approach the fundraising journey with clarity, confidence, and realism.

Angel investors vs VCs and SEIS funds

There’s more than one route to funding — and choosing the right one can shape your entire business journey.

Angel investors are typically experienced entrepreneurs or operators investing their own money. They’re often earlier in the journey, more flexible, and faster-moving than funds — but that also means decisions are more personal, and trust-driven.

Venture capital firms (VCs) invest pooled money on behalf of institutions and limited partners. They usually write larger cheques, but often come in later, expect more traction, and may push for aggressive scaling.

SEIS and EIS funds use government schemes to offer tax-efficient investment into early-stage UK companies. They can be a great option at pre-seed or seed stage, but the application process can be slower, and many funds still expect strong proof points before committing.

Understanding the mindset, motivations and expectations of each type of investor will help you tailor your approach — and avoid wasting time with the wrong audience.

How to win over investors — advice from UK angels

Peter Lockett | Co-founder - Angel Investors Bristol

Hattie Willis | Co-founder - IfWeRaise

Angelos Pampos | Managing Partner - Pampos Ventures

Carmel Rafaeli | Angel investor & entrepreneur

1. Understand if you should fundraise at all

Before you write a deck or book a meeting, ask yourself: Do I need to raise? Investors are more cautious right now. Many want to see earlier revenue, stronger traction, and more concrete proof points before writing a cheque.

“Is funding critical for your business? Or can you get early traction without raising first?”

This moment requires deep honesty. You’re not less of a founder if your ambition isn’t to build a unicorn. You’re just being strategic.

2. Start building investor relationships early

If you're planning to raise investment in the next 6–12 months, begin developing investor relationships now — not just to warm them up, but to build genuine, trusted connections.

“Think about the board you can’t afford. Reach out to potential advisors now. Show them how you action their input. That builds trust — and lays the foundation for a future investment.”

This approach is especially effective with angel investors. Unlike institutional funds, angels often back people they believe in — not just businesses they analyse. That trust builds over time. Many early investments start with a conversation, not a pitch deck.

Even though angels don’t usually sit on formal boards, they can offer valuable advice, open doors, and later become champions of your raise. Personalised engagement, not just blanket outreach, is the best way to spark interest and build alignment.

3. Tailor your pitch — angels invest their own money

Unlike VC firms or SEIS funds that invest on behalf of others, angels are writing cheques from their own accounts. That means personal motivations matter — and emotional buy-in is often a big part of their decision-making.

Mass cold outreach rarely works. Angels want to know why you’ve chosen them, not just why they should choose you.

“Understand who you’re pitching to. Did they build a start-up in your space? Then you don’t need to educate them on the problem. If they don’t know your industry, bring it to life for them.”

Customise your messaging. Show you understand their background. If they’ve built in your space, you can skip some of the context — but if they haven’t, make the opportunity tangible and relatable.

This tailored approach can be the difference between a pass and a pitch meeting.

4. Keep your deck simple, clear, and human

Many founders try to impress investors with complex decks. But most angels aren’t sector experts — and they don’t want to be.

“I’m not looking to become an expert in your business. I’m looking to see if this is a good opportunity. So keep it simple.”

Aim for 12–15 slides, focused on:

• The problem (clear and urgent)

• The solution (concise and specific)

• Traction (proof of demand, not just ideas)

• Team (why you?)

• Market opportunity

• Business model

• Use of funds

• Vision

And importantly:

“Tell me why you’re doing this. What’s the passion? What gives you the resilience to make it through the tough parts?”

5. Prove the demand

In this climate, proof of demand is gold. You don’t need huge revenue, but early signs of traction — waitlists, pilots, pre-sales, testimonials — are critical.

“Founders who’ve done the hard work to get proof of demand can negotiate from a position of strength — or even choose not to fundraise at all.”

These proof points matter more than polish. Your deck doesn’t need fancy graphics — it needs real signals of validation.

6. Know your numbers (and tell a financial story)

You don’t need to include a full financial model in your pitch deck, but you do need to be able to show it to those who ask — and explain the logic behind it.

“Your numbers should be linked to the story you’re telling. Make sure I can follow your assumptions and see the connections.”

Financial storytelling is just as important as narrative storytelling. Also if you don’t know something, say so — and show that you’re coachable.

7. Prepare for the pitch (like it’s a conversation)

Some investors will read your deck in advance and come to the pitch ready to dive in. Others won’t. Be ready for both.

“You need to be able to talk about your business from multiple angles — not just read off a script.”

Tips for founders:

• Know your narrative inside out

• Anticipate key questions

• Practise without slides

• Stack meetings — use early pitches as warm-ups

• Build an FAQ bank to help prepare

And above all:

“Treat feedback with respect. You don’t have to agree, but always be open and curious. That makes you memorable.”

8. Fundraising is a full-time job — but it’s not the business

Raising funds can take up all your time — but you must keep building your business too.

“Cash is king. Don’t pause your business to raise — your traction is your strongest leverage.”

Keep proving demand and building traction. Execution is your best pitch.

9. Remember: fundraising is a starting point, not the finish line

A successful raise isn’t the end — it’s just the beginning.

“Raising money is a milestone, not the goal. Execution is what matters after the cheque is signed.”

With cautious investors, capital efficiency and sustainable growth matter more than ever. Hype isn’t enough. Lead with clarity, traction, and humility.

Final thought

Angel investors want to back brilliant founders. But brilliance doesn’t mean perfection — it means clarity, focus, and evidence of traction. Be honest, coachable, and committed. That’s what makes you investable.

“At pre-seed, angels should bring more than money — and founders should bring more than hype.”