Recent studies show that a new breed of 'super angel investors' are driving the United Kingdom's economic growth by filling the void left by the absence of traditional venture funds for upstart firms.
In a poll conducted by Deloitte, a professional service firm in the United Kingdom, tax breaks were found to be an important factor in gaining interest from business angels to early stage British firms. The study, which was supported by the United Kingdom Business Angels Association or UKBAA, reported that 86% of respondents said that these tax breaks were utilized by 'super angel investors.' Examples of the tax breaks were the Seed Enterprise Investment Scheme and the Enterprise Investment Scheme.
'Super Angels' are investors who began as entrepreneurs in the industry, and have a large amount of capital ready for placements in new ventures. These investments are usually placed on the specific sector from which they hailed from.
The same poll suggested that most of these angel investors regularly invested in tandem, with 73%, However, 76% of the respondents said that the quality of deals have recently worsened.
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