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Angel List

Discussion in 'Accounting & Tax' started by Wukong, 22nd Jul, 2015.

  1. Wukong

    Wukong Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    217
    Location:
    NSW
    Question to the tax professional, what do we need to me mindful and conscious off in doing something like this?

    Angel investing via a site like AngelList
    https://angel.co/syndicates

    To the seasoned investor, what are your thoughts?

    My thoughts are you're able to be the dumbest person on the team leveraging on smarter people. Would also think there's a higher risk of making/ losing money but the amount required is also very small. A method of diversification perhaps...
     
  2. Paul@PFI

    Paul@PFI Tax Accounting + SMSF Business Member

    Joined:
    18th Jun, 2015
    Posts:
    2,400
    Location:
    Sydney
    Crowd source funding may not be considered an investment. Its akin to busking. Or begging.
    Like throwing money on the giddie ups is not a business activity either.

    Its a Ponzi scheme. ... A modern take on the multilevel marketing and other such schemes. You bring in others and so forth. The man at the top rips the cash out and the pyramid collapses. Meanwhile 5% of everything goes to the site. Ka...ching.