The first question is easy:
- Do you have actual paying customers?
- Do you have an actual revenue stream?
- Do you have a plan on how to grow it?
Those aren't really "quantity" questions. A simple "yes/no" works. If Yes, then it sounds like your ready.
That said, one thing an investor is going to want to see is your proforma. Basically, take the next 12 to 36 months (I know, some of this is BS) and try to accurately describe what your growth curve will be. Be completely honest here; it's too your advantage. If you've already been putting money in it, then include the past as well.
In particular, if you suddenly acquire $X dollars, what do you do with it? How does that money grow the business? At the end of say 3 years, how much would that money be worth? What kind of exit strategy do you have for them? In other words, how soon could they expect to make their money back plus extra?
Regarding the second one, I'd say your first order of business is to acquire "friends and family" funding. It doesn't matter if it's $5,000 each or whatever. Just try and get others that you may know to hand you cash. Include this on your proforma along with how it was/is used.
Basically, people don't like being the first in because there's a tremendous amount of risk involved. Not just with the idea, but rather with you personally. So going straight to Angels might be a hard one to get going. However, if you can show that others have invested and that you've used their money properly then Angels are more likely to trust you with even larger sums.
Once you have your friends and family, along with the press, make the site look sexy. Then ask those friends and family if they know anyone with deeper pockets. Go talk to them, be prepared for hard questions though.
Recently, we went after some Angel money. It was a small amount: $500k. However, during the process I ran into a lot of sharks with crazy ideas that would ultimately kill my business. Finally, I approached some friends (people I've done business with before) and after a real look at what I needed, they put $75k together (on a convertible note with very good terms for my company). That amount was actually just exactly what I needed, and no more, as it helped me to close another $400k in sales.
Regarding your "studying". At some point you're going to have to make a decision. I'm not sure how far out you are from your degree but you really need to decide if you are going to hit this fulltime or if you want to get a degree first. Starting a business leaves zero room for much else. Investors are going to see this as additional risk. For example, if something is going wrong are you willing to skip a final exam (thereby tanking your grades) in order to fix it or are you going to potentially kill the business by ignoring the problem for a few hours?
Look at it from their point of view.