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Showing posts from July, 2025

10 Red Flags Growth Equity Investors Watch for During Due Diligence

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  The due diligence process is not merely a matter of checking numbers— it's a matter of spotting would-be deal-breakers that can explode a growth equity investment. Investors need to spot red flags like shaky finances and an unreliable team. Here are ten key warning signs that should raise alarm and further trigger investigation.     1. Overstated or One‑Off Revenue Claims   If the spikes in revenue are based on one-off deals and not repeat streams, it's a big risk . Investors want stable, repeatable income, particularly in SaaS companies. An analysis on Medium points out this as an all-too-often mistake in early-stage transactions . Medium     2. Unrealistic Financial Projections & Unit Economics   Overt forecasts usually have little data grounding. Weak unit economics (such as CAC without the backing of LTV) imply little profitability potential. VC veterans stress the significance of good assumptions and good KPIs     3. Disharmony ...

Top Sectors Where Angel Investors Are Seeing High Returns in 2025

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  For anyone willing to invest in business angels, 2025 looks like an interesting year. Angel investors are always on the lookout for high-growth potential startups and disproportionate returns. While old stalwarts remain strong, some newer, more innovative industries are proving especially enticing.     Here's a rundown of the leading sectors where angel investors are gaining big returns—and why these sectors are so appealing today.     1. Artificial Intelligence and Automation   No surprise here: AI continues to dominate the startup landscape. But in 2025, the opportunity isn’t just for big tech players— it’s hyper-targeted, niche AI applications.     Think small teams building custom models for logistics , predictive maintenance in manufacturing, or AI-powered healthcare diagnostics. Angels who get in early with these focused solutions are seeing excellent multiples on exits.     Why? Because bigger firms are eager to buy tried ...