To help entrepreneurs understand the financing options available to startups, the Angel Investor Association (AIA) in Prague is organizing the sixth annual Congress of European Business Angel Networks (EBAN) in Prague April 10 and 11.

The congress, which will be attended by EBAN President Anthony Clarke, will be devoted to business angel investment. A business angel is a wealthy investor who is willing to risk investing in a startup in exchange for a stake in the company.

"It is important to raise the profile of this type of investment," says EBAN's deputy director, Claire Munck. "[Central and Eastern European] countries are opening their markets and developing their entrepreneurial cultures."

This is the first time the congress will be held in the region. It is open to the public, and a ticket costs 4,500 Kč ($189).

Speakers at the congress, which targets potential investors, business owners and policymakers, will present financing success stories from countries around the world, including the United Kingdom and Switzerland, says Joanna Rzesiewska, executive manger of the AIA.

Rzesiewska says the congress will address financing trends in different parts of the world. It will also touch on specific issues related to this region by giving the floor to successful entrepreneurs from Poland, Hungary and the Czech Republic to address what many observers describe as a lack of awarenes among local businesses about private investment options, including business angels and other types of financing.

Entrepreneurs such as Roman Staněk, the founder of several software companies, including NetBeans, will explain how they managed to raise private money and talk about the difficulties they faced building their businesses.

Speakers will also talk about the relationship between business angels and venture capitalists, the latter of which is a financing option for companies that have made it through the intitial start up phase.

Prague Mayor Pavel Bém is expected to give the opening address. The organizers of the event are hoping policymakers such as Bém will attend to learn about what they can do to stimulate private investment.

Business people are welcoming the congress, saying it will improve the country's entrepreneurial culture and help grow local businesses.

"It is important to invest into your own pool of talent," says Rick Kovar, vice president for sales and marketing of Digital Resources, a company providing support for information systems and technologies since 1994. "Having an angel investor network within the Czech Republic that can finance startup businesses is extremely important because without access to this kind of investment small businesses cannot grow."