Looking for places to invest

One of the larger difficulties in doing angel funding in Chicago or doing a Chicago private equity deal is drumming up deal flow.  Deal flow is all about having enough business opportunities in front of you to be able to make a good choice.  Here are a few ways people dig up deals:

• Work out departments at banks, when a business gets in trouble with their loans, the banks either can take possession of the company or introduce the current owners to fresh investors
• Going to the business brokers.  This option is good if the investor doesn't want to do a lot of convincing the seller to sell.  At least at the business broker's office, there is a price and a pretty good representation of financials of the company.  The sellers are usually ready to depart from the company if they have gotten this far
• Through angel networks where there is a single fund raising and deal committee, you dump your money in, they charge a fee and do all of the due diligence
• Word of mouth through business groups like YPO, EO or standard Chamber of Commerce connections

Just like with any other job, you have to get up early, work late and nothing is ever handed to you.