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Ask HN: How can I invest in tech startups with as little as $50k?

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Ask HN: How can I invest in tech startups with as little as $50k?

#1
I am a long time developer who has put together a little war chest that I'd like to invest. I'm looking to invest between $25k and $75k into new tech startups but I don't know how to do this. Are there funds that invest exclusively in high-tech startups? Can I approach companies directly? What other options am I overlooking?

Re: Ask HN: How can I invest in tech startups with as little as $50k?

#3
post #2

You are overlooking the most obvious option: Start your own company. That's what I did and it's pretty awesome so far. More work than I ever imagined but awesome all the same. :)

I have certainly considered that, but I'm at a point in my life where I want my money to work for me - not the other way around. I'd be interested in providing capital for a startup but I have less interest in being involved in their day-to-day business.

Re: Ask HN: How can I invest in tech startups with as little as $50k?

#4
post #2

You are overlooking the most obvious option: Start your own company. That's what I did and it's pretty awesome so far. More work than I ever imagined but awesome all the same. :)

I have certainly considered that, but I'm at a point in my life where I want my money to work for me - not the other way around. I'd be interested in providing capital for a startup but I have less interest in being involved in their day-to-day business.

Perhaps looks for "Small Cap" funds focused on tech or do your own research on the tech sector and buy stocks. Otherwise you are talking angel investing and I think, for a little while longer at least, you need to be an Accredited investor with all the income and net worth rules that go along with that.

Re: Ask HN: How can I invest in tech startups with as little as $50k?

#7
I wouldn't invest more than 20% of your total savings in something that high risk. Basically what you can afford to lose. And your going to want to make sure you spread it out enough to cover the risk. and it that works out to like less than 10k per investment and 20 investments I'm not sure your going to get your desired result. Even that could not work out so well. That's even if they want your money.

Re: Ask HN: How can I invest in tech startups with as little as $50k?

#8
I am struggling for external-investment, if you're interested we can talk. I am registering my company in next month.

I am 23 year old and my business model is based on India and it is million dollar business. Because of this, none of the investors are showing interest. (hell, i can't even apply to YC because they usually fund to idea which somehow benefits US economy). I have never visited any foreign countries, i haven't really sure how much valuable my idea is outside my country. Certainly i see big growth. And, i am not looking for big funding. 20k-40k is suffice .

If this sounds good, we can talk future at paritosh@15as.com

Re: Ask HN: How can I invest in tech startups with as little as $50k?

#10
I'm a big fan of fundersclub.com. With a single investment (min 10K) you can hit 10 or so of the best companies from the winter or summer batch of YCombinator.

You need an invite to join, and you must be an accredited investor. If you need an invite contact me and I'll refer you.

By the way, this is very risky and very illiquid. I don't recommend investing more than 5% or 10% of your net worth. And don't expect to be able to cash out on anything for 5 to 7 years.

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