Cautious Backers or Angels are traditional in the lore of entrepreneurship.  Preliminarily found in only 1% of the business population, these (usually private) investors know of the existence of the venturing success script, generally, and also have the resources (including both money and/or time available in their career track) to venture.  Often they may become involved with a new venture on a whim, hunch, or guess that it "just might fly".

Although conservative in nature, the presence of resources, a general knowledge of the venturing sphere of activity, combined with a belief in the value of an "educated guess", makes them good investors.  They don't ask too many questions at a time where there are few answers which aren't "fluff".  They are often of high value to a venture.

WHAT TO DO:

If you are a CRAG, and desire to venture, you have many of the skills already present to do so.  You have a general knowledge of the entrepreneurial script, and most importantly you have the ability to undertake new venture activity should you so desire.  Your natural reluctance should drive you toward acquiring better information to help you to optimize your educated guessing.

Eventually over time CRAG's may become CRAD's (Institutional Experts) and are invaluable to venturers as advisors, cautious backers etc.  If you choose to stay involved in venturing, your presence within the venturing community should always be welcome.
 

©Copyright 1998-2003 Ron K. Mitchell under license to Wayne Brown Institute