Whenever there is an economic downturn or the stock market is in the doldrums, someone will inevitably ask me if I am seeing a slowdown in the the number of startups getting formed and funded. Not that anyone would be surprised if talk of a recession did give pause to any entrepreneur trying to start a business, but I just haven’t observed a sea change in entrepreneurial behavior.

While entrepreneurs understand that starting a startup is risky business, they also know that being employed by a company during a recession isn’t all that secure either – U.S. employers slashed 80,000 jobs in March, the most in five years and the third straight month of losses.

The good news for entrepreneurs is that angel investors, as a group, are decidedly more optimistic than the general populace. Angel investors are high net-worth individuals who invest in startups and entrepreneurial ventures, and as a group, invest just about as much as the venture capital (VC) firms do.

In the Angel Confidence Report survey released by the Angel Capital Association (ACA) about six weeks ago, 55 percent of the respondents said the number and total dollars invested will increase this year, while 32 percent expected it to be the same as 2007. This is good news, indeed, as angel groups prefer to invest in seed and startup companies (81%) and early-stage firms (85%) as reported by that same survey.

I think part of this optimism is rooted in the fact that angel investors are an optimistic bunch in the first place — you have to be, to invest in a seed and early stage startups. But it is also because angel investors know they are investing for long term growth, not immediate returns. They expect that their investment will grow into something substantial years from now.

So if you are an entrepreneur, go ahead and ditch that cubicle. If you have a great idea and a solid business plan, chances are you’ll be able to get some angels to help get your startup off the ground.

© Eye on Startups & The Startup Guidebook