How to attract investment for startups: advice from Singapore angel investors

According to the three experienced investors, who have combined experience of more than 30 years in Southeast Asia, the founder’s personality is everything at the early stage. Presentations and prototypes are also important, but the main factor is the founder’s thinking, leadership skills and flexibility. These determine whether the project will receive support.

Betting on the Person, Not the Plan

Ashley Koh, chief operating officer and co-founder of Voyant Asset Management, notes that investors initially understand that the startup will experience changes, and sometimes serious ones.

“The founder is probably the single most important factor in early-stage startups, as we are betting on the people rather than some established business metrics,” says Koh.

Everything changes in a startup: the product, the market, the strategy. The only thing that remains is the founder. A weak idea can work with a strong leader, and a good one can fail if the wrong person is behind it.

This is especially true in Singapore, where everything is developing quickly, and the rules and the market change constantly. In this environment, it is the one who can quickly adapt that wins.

What Makes a Founder “Investable”

So, what exactly do investors look for in founders?

According to Lynette Lee, CEO of Sirius Impact Venture, the most important thing is the ability to adapt to the situation. “They’re very passionate about what they’re doing,” she said. “But if they cannot see above and beyond what they’re doing… that means in a crisis like Covid-19, they don’t know where to turn.”

She looks for founders with a growth mindset. Those who treat setbacks not as failures but as feedback. Entrepreneurs who can take a hit, learn fast and adjust course quickly are far more likely to weather turbulence.

Resilience and resourcefulness are key, but so is the ability to lead a team. Founders need to inspire, manage and build a team where skill sets complement rather than duplicate. Investors take note of how well a team functions and whether the founder has built trust internally.

Be Able to Listen And Act

Huang Shao-ning, co-founder of AngelCentral, has invested in 48 projects since 2009. According to her, the key is a big vision that is coupled with real action. But ambition alone is not enough.

“I want to see the humility that they are willing to listen,” she emphasizes. Some entrepreneurs, especially men in their 30s and 40s, become defensive during audits and perceive questions as an attack. “I literally had founders saying: ‘Why are you asking so many questions? Are you trying to audit me?’” she recalls.

Instead, founders should expect and welcome questions. In-depth scrutiny is part of the process for angel investors, who risk capital on unproven ideas.

According to Lee, female investors tend to ask more clarifying questions and are more engaged in the dialogue. “Women are usually more patient and we will ask the questions,” she said. She recalled a pitch involving acupuncture for fish, where male investors held back, while female investors engaged more deeply. “I think a lot of us females have less of an ego trip, so we are willing to ask.”

Communication Is Not An Option, But a Must

Beyond ideas and adaptability, communication is non-negotiable.

Founders must be able to pitch effectively, engage investors, inspire their teams, convince customers and negotiate with suppliers. Poor communication can signal deeper issues, such as unclear business models, weak leadership, or a lack of market understanding.

Equally critical is the founder’s focus on profitability. Investors are quick to raise red flags if a startup is burning cash without a clear go-to-market plan. With global startup failure rates hovering around 90%, and 20% failing in their first year in the U.S. alone, angels typically look for a potential return of at least 10 times their capital to balance out the many that don’t survive.

Meet Investors In Advance Before You Need Money

Koch advises establishing connections with angel investors before you start looking for funding. “Try to meet one angel investor a month. In a year, you’ve already met 12,” she said. “Sometimes, you invite them to demonstrations, but you’re not fundraising. Then when you are fundraising, there’s already a relationship. By the time you need money, the way you pitch is different.”

This is especially important to note for foreign founders building a business in Singapore. The startup ecosystem here is quite close, and personal connections do matter.