In 2012, Dusan Stojanovic had three successful exits. While an accomplishment on its own, Stojanovic had these 3 successful exits happen in just 7 days. To Stojanovic, there isn’t anything magical or lucky about angel investing. It takes a lot of hard work, requires a strict adherence to an investing plan, and a willingness to assume risks when others may not.
Here are 5 lessons learned from his experiences that can benefit everyone.
1. Follow Your Expertise.
If you don’t know anything about an industry, then there is no reason to invest into it. Your personal expertise is what will increase the payout at the end.
2. Think Local, But Go Global.
There are opportunities that can be found everywhere. Angel investors tend to be loyal to certain communities or their home nation. When money can be made from Singapore to Paris, however, sometimes it is better to be a world citizen than a national citizen.
3. Invest In The Entrepreneur, Not The Opportunity.
Most angel investors aren’t going to make an investment if they don’t have faith in the entrepreneur behind the deal. For Stojanovic, he takes this idea to another level. He will only invest in entrepreneurs that reinvest their cash at the same time he does.
4. Don’t Keep Secrets.
Angel investing isn’t like trying to hide a secret fishing hole. If one person succeeds, everyone succeeds. That’s why it is important to share expertise and recruit talent so an opportunity can become successful. Find the best people, discover what makes them great, and then clone them. Keeping information to oneself won’t make that happen.
5. Flip IT.
The industry standard is to spent most of one’s time on due diligence. Stojanovic spends most of his time on the exit. This is partially due to staying within fields of his expertise, but keeping reliable partners and entrepreneurs close is also an important part of the process.
If there is cash on the table during an exit, Stojanovic will tell you to take it. A partial exit means that more cash can be reinvested. Is it a risk to follow these 5 lessons? Potentially. Trust your gut, work hard, and you can experience the same levels of success.