No Traction, No Problem: How Angel Investors Can Save Your Startup

At Rare Founders, we know how hard it is to raise your first money—especially when you’re still building, figuring stuff out, or simply too early for most VCs to take you seriously.

If that’s where you’re at, here’s some truth: angel investors might be your best (and only) option. And that’s not a bad thing. In fact, they might be the perfect fit.

Let’s dig into why.

So, What Exactly Are Angel Investors?

Angel investors are usually the first people to believe in you outside of your friends and family. They’re typically successful founders, operators, or high-net-worth individuals who back early-stage companies—not just with money, but with advice, contacts, and encouragement.

Here’s what sets them apart:

• 💸 Flexible terms – Angels often invest before you have revenue or traction. They’re more interested in you and your vision than in your dashboards.

• 🚀 First money in – They’re often the only ones willing to invest pre-revenue.

• 🤝 Support & intros – Many angels actively mentor and introduce you to VCs, partners, or other founders.

Why Not Just Go to VCs?

We get this question all the time. And here’s the reality:

VCs—especially in the UK—say they invest early, but many won’t touch anything that doesn’t already have traction. You’ll often hear:

That’s because most VCs have investment committees that require hard proof—metrics, growth, MRR—before signing off. And let’s be honest, if you already had all that, you probably wouldn’t be reading this.

So what do you do if you haven’t launched yet, or you’re pre-revenue? You turn to angels. In fact, 80% of UK companies raising up to £500K do it via angel investors (SeedLegals data).

A Quick Breakdown of UK Angel Investing 📊

• 🇬🇧 Average cheque size: £10K–£50K

• 🏦 60% of deals go to pre-revenue startups

• 💰 Investments are de-risked by SEIS/EIS (tax relief of up to 50%)

• 📉 If your startup fails, angels can claim loss relief on their investment

So not only do angels take the leap before traction—they’re also financially incentivised to do so.

So… How Do You Actually Find Angel Investors?

Finding VCs is easy. Google them, look at fund lists, go to events.

Finding angels? That’s trickier. They often don’t have websites. You won’t find public contact lists because of GDPR. And most angels like to stay off the radar to avoid getting spammed.

But here’s the trick: anyone can be an angel investor.

Some practical steps to find them:

1. Create a killer pitch page

Upload your pitch deck somewhere online (Google drive, Notion, platforms like SeedLegals etc) and create a 1-minute video showing what you’re building and why it matters. People want to see the founder’s passion. Include SEIS/EIS eligibility if you have it.

2. Post like mad on social

Talk about your project. Use LinkedIn, Twitter, Insta—whatever works for you. But don’t make it sound like a financial promotion. Just say:

This works. People will reach out—some with money, others with intros or useful feedback.

3. Reach out to your network

Yes, your users, early customers, or old colleagues might invest. If someone’s excited about what you’re building, don’t hesitate to say:

You’ll be surprised who says yes.

4. Be ready to move fast

If someone’s in, don’t make them wait 3 months. Use tools like SeedFAST or simple convertible notes to close small cheques quickly and build momentum.

Want Access to Our Angel Investor List?

We’ve curated a living database of active angel investors across the UK and globally. It’s growing every single month.

What’s inside:

• 🧑‍🚀 2,400+ angel investors, including 371 in the UK

• 🏦 2,600+ funds, with 439 UK-based

• 🚀 3,000+ VC firms, accelerators, and corporate VCs (955 in the UK)

• 🔄 500 new contacts added every month

👉 Check out our list of angels and start reaching out today.

You’re probably only one message away from a “yes.”

This is a quick preview on what we have on the angel investors in our database for you. Subscribe here to get access to all the data we have manually collected and verified so you don’t have to.

Rare Founders - building the bridge between founders and investors via regular in-person and online events, meetups, conferences.