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For most people, the key role of an angel investor seems to be providing capital in exchange for significant equity to start-ups at an early stage. But the role of an angel investor is much more than that. Indian start-ups have emerged drastically due to the widening scope of angel investing. This article sheds light on the world of angel investors. From investing methodology to functioning covers all the key aspects related to angel investing in India. Different Roles of Angel Investors The major key roles of an Angel Investor involve: Early Stage Funding It is often the angel investors that provide the initial seed capital that is required. It takes care of major start-up operations like product development, hiring talent, and marketing products/services to end consumers. Risk Taking Support Angel Investors are prone to risk as they often invest in a highly unstable unproven business model. The risk involved is very high but the returns can be multifold. They are driven by the conviction of the founders. Mentorship and Guidance Angel Investors carry the experience of building big companies. Their mentorship, guidance, and advice can be of high value to the new founders to turn their ideas into profitable business models. Bridge to Future Funding If backed by an angel investor the credibility of the start-up increases. It makes future capital raises easier. Flexible Terms Unlike regular debt issued by banks or other financial institutions angel investors provide flexible terms. These terms can involve lucrative interest rates, royalty from sales, or a piece of profits incurred. Functioning of an Angel Investor The functioning of investment by an angel investor involves more or less the following steps: Identifying Investment Opportunities They look for new-age investment opportunities through ideas that can change the way our world operates. They can identify an opportunity throughPitch events for foundersNetworks/Personal connectionsOnline platforms for angel investors Due Diligence Angel investors conduct due diligence before investing. It involves:Evaluating the potentialAnalyzing projectionsAssessing the founder’s visionReviewing the risks involved Structuring Investment Once checked the investment is made in exchange of:EquityConvertible DebtAll negotiations are made through legal agreements. Post Investment Involvement Angel investors have major roles post the investment like:Advising founders and managementIntroduction to networksStrategy to growTaking a seat on the board of directors Exit Strategy Angel investors tend to take an exit in one of the following manner:Acquisition by a bigger playerIPO (Initial Public Offer)Sale of stake to other onboarding investors Therefore, it can be inferred that the role of an angel investor is way more than just giving out money to a start-up. It’s their experience, network, and business advice that can play a huge role in the success of any emerging venture. Indian Angel Investors and Their Investments India has witnessed a surge in startup activity over the past decade. Indian angel investors have played a significant role in the success of Indian start-ups. Here are some of the most prominent Indian angel investors and their notable investments: Angel Investor Major Investments Sanjay Mehta OYO Rooms, Block.one, Box8, FabAlley Rajan Anandan Unacademy, Innov8, BlueStone, Instamojo Anupam Mittal Ola, Shaadi.com, Big Basket, Druva Kunal Bahl & Rohit Bansal Razorpay, Shadowfax, Unacademy, GoMechanic Nithin Kamath Smallcase, Finshots, Stoa School Deep Kalra Zomato, Ixigo, Goibibo Girish Mathrubootham Dunzo, Airmeet, Rocketlane Harsh Jain & Bhavit Seth HalaPlay, Rooter, Elevar Sports The key focus areas of Indian Angel Investors have been fintech & financial services, edtech, D2C Brands, health tech, and gaming.  How to Find an Angel Investor in India Finding the right angel investor is a challenge but can be a game-changer given the competitive landscape of start-ups.  Here’s a step-by-step guide on how to find an angel investor in India: 1 Start with Angel Investment Networks Several platforms connect founders to ideal angel investors.Indian Angel Network (IAN)Mumbai AngelsChennai Angels100XVCLead Angels 2 Use Online Platforms Online platforms can provide access to multiple angel investors. Some of them are:LetsVenture AngelList IndiaStartupIndia HubVenture Catalysts 3 Leverage Your Network Leverage network and professional circle for reaching out to potential angel investors who might be interested. 4 Reach Out with a Strong Pitch A strong pitch is important for an impact that lasts long. It must contain the vision that you aspire your idea towards. 5 Join an Accelerator or Incubator Programs like Y Combinator, Techstars India, GSVlabs, or IIT/IIM incubators offer access to mentors and angel networks as part of their ecosystem. Final Thoughts Angel investors have become a driving force in India’s startup ecosystem, helping innovative ideas turn into successful businesses. Their involvement early in the journey can be the difference between a startup’s success and failure. FAQ

Introduction: Learning simple technical analysis takes you miles ahead in your journey of stock market trading/investing.  Technical analysis is very similar to leading a successful life. It focuses on strategy plus execution. Moreover, like a mentor, you just have to follow the trend line to stay afloat in the market.  Today, we talk about one of the most important ratios in technical analysis. There are some financial ratios that can help you study the stocks at the micro level, one such ratio is the Fibonacci also called the golden ratio. This ratio is symbolized using the greek capital “Φ” or with a small “φ”. We use these symbols instead of “PHI” because “π”. is an irrational number, that has no end. This formula was given by Leonardo Fibonacci, in his book ‘Liber Abaci’ that he published in 1228.  He mentioned a new number system that was different from the Roman numeral system that was prevalent during that era. This number system was eventually named after him. This is the Fibonacci number sequence 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233, 377, 610, 987, 1597…etc. This sequence starts from 0, 1, 1, and every third number is the sum of its previous two numbers.  In the above case 1+1=2, then 1+2=3, 2+3=5 etc. What is the golden ratio? So one might wonder what is the Golden Ratio. The golden ratio is derived from the Fibonacci sequence. If we divide any number by its previous number, we always get 1.618033988749895… However, if we multiply any number in the sequence by 1.618…….. we always get the next number in the sequence. Fibonacci and the Golden Ratio One might wonder what is so important about the golden ratio. Well, several natural things adhere to the ratio of 1.618. It is believed that the Fibonacci ratio is one of the fundamental building blocks of nature. Golden Ratio Examples: Here are some examples of the Fibonacci golden ratio from our day-to-day life. Have you ever seen a bee hive? Did you know that if you divide the total number of female bees in the hive by the total number of male bees, you get a number around 1.618? This ratio can also be observed in several different components in nature. Besides this, some of the most renowned pieces of art are made on this golden ratio. The pyramids of Giza incorporate triangles whose dimensions are based on the golden ratio. Some other example of such a monument is the Parthenon in Athens.  The golden ratio Fibonacci seems like a naturally occurring phenomenon that is unavoidable. But this ratio works equally well for financial markets as they have the same mathematical base. Let us now understand the use of the golden ratio in the technical analysis of stocks: How to use Fibonacci Retracement Levels in Trading This golden ratio when further translated into percentages can be used for measuring the support and resistance levels of stocks. When the golden ratio is used for stock analysis there are four techniques that are mostly used. Fibonacci retracement, arcs, fans, and time zones. Here the golden ratio is converted into percentages. Typically, 3 percentages are widely used, to calculate the retracement levels of stocks. These are 61.8%, 38.2% and 50%. However, if required the other multiples like 23.6%, 161.8% and 423% can also be used. Fibonacci retracement It uses vertical lines to indicate support or resistance. The retracement levels of 38.2%, 50% and 61.8% are the key support and resistance indicators in the financial markets. The retracement is drawn using the high and low points of the chart. These lines help in recognizing the buying and selling momentum in the market. Typically, these retracements are plotted on a daily, weekly and monthly basis. Fibonacci Arcs: Arcs can be another way of plotting the support and resistance levels of stocks. This compass-like movement is represented in the form of half circles that intersect the high and low lines at 38.2 percent, 50 percent, and 61.8 percent. When the rally is big, the circle formed is wider. Since it is circular the price of the stock shows similar moves at support and resistance levels. These lines help in anticipating the trading ranges  Fibonacci Fans Fibonacci Fans are composed of diagonal lines that are spread within the high and low. After the highs and lows, an invisible horizontal line is drawn from the rightmost point of the chart. These lines are plotted on 38.20 percent, 50 percent, and 61.80 percent retracements. When the stock moves out of these lines, it indicated a strong breakout of a trend. Hence these lines indicate the areas of support and resistance. Fibonacci Time Zones: Unlike other methods, Fibonacci Time Zones is a series of vertical lines that analyze the time period when the price momentum was maximum. They are made by dividing the charts into vertical segments that are spaced according to the Fibonacci sequence (1, 1, 2, 3, 5, 8, 13, etc.). Fibonacci Time Zones can span a longer period, more the duration more potent the momentum. The analysis of these time zones can help eradicate the drastic volatility and results in a steady price movement. Conclusion: The Fibonacci studies in general are not intended to provide you with the entry and exit points in any given trade. The idea behind the use of this ratio is to determine the support and resistance levels of stocks. This ratio helps in making the appropriate buying and selling behaviour of the traders.  Golden ratio when combined with other technical indicators, helps in giving a more accurate forecast of the trade. For example: When the Fibonacci ratio is studied in conjunction with the candlestick patterns it can help one determine the right entry and exit points from a medium-term perspective. 

One thing that holds utmost significance in accounting and finance is the net wort – how much the company owns and how much it owes. It is also called the book value of a company. The most prominent way to know how much a company values, the balance sheet is the key. A balance sheet includes all the assets and liabilities of a company along with the equity proportion of shareholders. Reading a balance sheet may appear challenging, but anyone can perform this task with some basics cleared.  This article will help you understand what a balance sheet is, what a consolidated balance sheet is, and why it is crucial for any business with an example.  What is a balance sheet in accounting? A business has to prepare three financial statements, and a balance sheet is one of them. A balance sheet represents the total assets, the sources of assets, whether equity or debt, total liabilities, and the shareholders’ equity. As a result, it is also called the statement of financial position.  The balance sheet of a company contains two sides, where the left section has the total assets of a company and the right side contains the total liabilities and Shareholders’ Equity.  This can be stated as the balance sheet equation = Total Assets = Total Liabilities + Total Equity Apart from the border classifications of assets and liabilities, these two are further divided into more categories – current and non-current assets and liabilities. A balance sheet helps a company find key ratios such as current ratio, liquidity ratio, debt to equity ratio, etc. This helps the internal and external stakeholders and investors know how viable the business is. Important decisions on the company policy, business strategy, financing, etc., are taken based on the balance sheet numbers. The balance sheet for a company is typically created every quarter as well as on an annual basis. Though some companies also prefer to make it on a monthly basis.  What is a consolidated balance sheet? Now that the basis for the balance sheet is clear, let us get into a little more detail. The concern to create a consolidated balance sheet arises when a company owns a subsidiary of other companies—for example, Alphabet and Google. Alphabet is the parent company, and Google is its subsidiary. If a company owns more than 50 percent stake in another company, it can choose to make a consolidated balance sheet.  In a consolidated balance sheet, the assets and liabilities of the subsidiaries are also included in the parent company’s assets and liabilities without any distinctions.  It is an easy task if the parent company has a 100 percent stake in the subsidiary. However, suppose the stake is less than that. In that case, the ideal accounting method is to include the subsidy’s assets and liabilities to the parent company’s particulars and create a separate head of Non-controlling Interest or Minority Interest under Shareholders’ Equity. It balances both sides.  Balance sheet format Below is the standalone balance sheet of TATA Motors for FY 2020-21.    Let’s understand the line particulars in detail.  Non-current Assets The major particulates for this tab are as follows.  Plant, Property, and Equipment (PP&E): All the tangible assets of a company are included under this heading. All the assets except land are added to a net of depreciation in the balance sheet of a company.  Intangible Assets: Assets such as licenses, patents, etc., cannot be seen but holds value. They are included under the tag of intangible assets.  Current Assets Current Assets are divided into three major categories.  Cash and Cash Equivalents: This includes all the liquid and short-term assets a company owns. They typically have less than three months of maturity. More details on the equivalent are always mentioned in the footnote of the balance sheet.  Accounts Receivable: This includes all the total revenue that is yet to come. Any bad debt expenses are deducted from receivables. When a company receives a credit from a doubtful account, it is added to the cash and is deducted from receivables.  Inventory: This tab includes the sum of raw materials, work in progress (WIP), and finished goods and services.  Non-Current Liabilities The primary line items under this tab are as follows.  Long Term Debt: A company showcases its total Long Term Debt excluding the part of current Non-Current Debt under this tab. It is typically classified as per different payable schedules and includes details of interest amount and principle for each maturity period.  Bonds: This tab included the amortization sum of bonds issued by the company. Current Liabilities Current Liabilities can be divided into three parts.  Accounts Payable: This is the opposite of Accounts Receivable, as in, the company is yet to pay the due to suppliers. When the company pays out the due, the cash account is reduced along with the payables account for the same sum.  Current Debt or Debts Payable: Any item excluded from Accounts Payable is included under this tab. Current Debt usually has a time frame of a year or less than a year. Sometimes it also includes Notes Payable for longer than a year.  Current Long Term Debt: It is at the discretion of a company to add Long Term Debt to the Current Debt or show it separately. Long Term Debt has a longer maturity, typically of more than a year.  Shareholders’ Equity Shareholders’ Equity contains two parts.  Equity Share Capital: Shareholders fuel the cash demand when a company starts. The cash part is included under current assets, while to balance it out, the same is added to the Shareholders’ Equity. This is the total sum that shareholders of a company have put in for the growth.  Retained Earnings: The total net profit mentioned in the income statement is added to the balance sheet under the tag of Retained Earnings. This is the sum that the company has left with after paying dividends to shareholders (if any).  Conclusion A balance sheet is a crucial element to understanding