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at Black women, that’s even less.” Johnson started IFEL in 2002 to support entrepreneurs and small business owners, but over the Official Not addicted to stimulants T-shirt moreover I will buy this years found they weren’t moving the needle enough to gain access to capital. “I don’t want to be having this same conversation about access to capital in 20 years,” Johnson said. “I don’t want my children, when they get ready to start a business, to be trying to figure out access to capital.” In 2020, Johnson designed a program called the “Making of Black Angels” to educate prospective angel investors and connect them with Black business owners to help startups obtain critical funding. “Capital in the United States of America is so plentiful,” she said. “Yet, we have certain groups that have been historically excluded from this access — and we need to change that. “Anyone with financial capacity needs to get involved in this investor ecosystem to provide the access to capital that Black-owned businesses so desperately need,” Johnson added. Risks and rewards of becoming an angel investor To make early-stage investments as an angel investor, you must be an “accredited investor,” as outlined by the U.S. Securities and Exchange Commission. Individuals must have earned income of more than $200,000 (or combined income of $300,000 with a spouse) in each of the prior two years or a net worth exceeding $1,000,000, either alone or with a spouse, excluding the value of their primary residence. The SEC also warns that “early-stage investments may involve very high risks” and “you should research thoroughly any offering before making an investment decision.” More than two-thirds of startups never show a positive return. Yet, those statistics have
not deterred investor Gina Nisbeth from doing her homework and financially backing companies she believes in. “I absolutely do expect an economic return; I believe in these companies,” said Nisbeth, one of the Official Not addicted to stimulants T-shirt moreover I will buy this more than 250 participants in the Making of Black Angels virtual course and other events. Nisbeth, based in Annapolis, Maryland, first heard Clayborne’s pitch about NasaClip at a virtual meeting, hosted by IFEL, that introduced Black startup founders to prospective angel investors. After that pitch, Nisbeth initially invested $7,000. She later invested $10,000 more and became a company advisor. In the past two years, Nisbeth said, she has invested in several startups. “I believe the companies themselves are going to grow,” she said. “I believe they’re going to hire people of color and that’s putting capital in the hands of people of color — that, to me, is addressing the racial wealth gap.” Before starting her own consulting firm last year, Nisbeth worked in community development finance at Citigroup. Now, she said, she is excited about the opportunity to help the founders beyond just providing capital. “I can leverage 25 years experience at Citi,” Nisbeth said. “I can leverage the networks that I’ve built and help other organizations who might not have this information or access to capital to get it.” Relying mostly on angel investors like Nisbeth for early stage capital, Clayborne has raised more than $1.1 million and expects to have NasaClip on the market by April. Looking at the success rate of many startups, “angel investing is risky,” Clayborne said. But, she added, “I do think it is a really interesting and powerful way to invest your money that not only brings up that business, but may raise up, you know, communities, values and interests that you have that coincide with what’s important in your life.”
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