Harun Raaj & AssociatesHarun Raaj & Associates
Category I AIF — Chapter III-A

Angel Fund Registration

Angel fund registration under Chapter III-A of the SEBI (Alternative Investment Funds) Regulations, 2012 — a sub-category of Category I AIF. Minimum corpus ₹10 Cr. Eligible investors: individuals with net tangible assets ≥ ₹2 Cr or corporates with net worth ≥ ₹10 Cr. Each investee: unlisted company, ≤ 3 years old, turnover ≤ ₹25 Cr.

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Angel Fund — Key Parameters

Classification

Sub-category of Category I AIF — Chapter III-A

Minimum corpus

₹10 crore

Registration fee

₹2,00,000 (SEBI)

Application fee

₹1,00,000 (SEBI)

Investor eligibility — Individual

Net tangible assets ≥ ₹2 Cr excluding principal residence

Investor eligibility — Corporate

Net worth ≥ ₹10 Cr

Minimum investment per investor

₹25 lakh (accepted up to 3 years)

Investment per investee company

₹25 lakh to ₹10 Cr

Investee company — age

Not more than 3 years old

Investee company — turnover

≤ ₹25 Cr

Investee company — group restriction

Not promoted by industrial group with turnover > ₹300 Cr

What We Do

  • Entity structuring — angel funds are typically set up as trusts under the Indian Trusts Act, 1882
  • Preparation and filing of Form A application with SEBI under Chapter III-A of the SEBI (AIF) Regulations, 2012
  • Drafting of placement memorandum specific to angel fund requirements
  • Verification of investor eligibility — net tangible assets / net worth certificates
  • Coordination with SEBI and response to clarification queries
  • Post-registration: investment documentation for each investee company
  • SEBI quarterly reporting within 15 calendar days of quarter-end
  • Annual audit coordination under Regulation 29
  • Angel Tax (Section 56(2)(viib)) advisory for investee companies receiving angel fund investment
  • DPIIT recognition and angel tax exemption under Section 80-IAC for investee startups

What Comes Next

Related Services

Regulatory

AIF & SEBI Compliance

Angel funds are a sub-category of Category I AIF. The broader AIF registration framework under the SEBI (AIF) Regulations, 2012 applies — entity structuring, Form A filing, PPM, and SEBI registration fee of ₹2 lakh.

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Advisory

Startups & VC Advisory

Angel fund sponsors and managers who invest in early-stage companies need cap table, ESOP, and FEMA structuring alongside fund registration. We handle both the fund-side and investee-side advisory.

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Regulatory

Accredited Investor Certification

Angel fund investors must meet specific eligibility criteria under Chapter III-A. We issue the CA net worth certificate to verify investor eligibility before fund onboarding.

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AIF Hub

AIF & Fund Services — Full Overview

See all 9 Alternative Investment Fund services in one place — AIF registration, PPM, accredited investor, angel fund, GIFT City, family office, compliance, and SPV structuring.

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