What is an angel round?
An angel round is an early-stage equity or convertible fundraising round in which a startup raises capital primarily from individual angel investors rather than venture capital firms. Angel rounds typically precede an institutional Seed or Series A round and range from US$50,000 to US$1.5 million in total proceeds.
Most angel rounds today are structured as SAFEs (Simple Agreement for Future Equity), convertible notes or, less commonly, priced equity rounds. Documentation is typically lighter than priced rounds, but founders should still ensure clean cap-table treatment, accurate disclosure and proper securities exemption claims.