Guo Tao: How To Finance Internet Enterprises At The Beginning Of Their Business

The Internet has changed people's lives, but also provides a new way of doing business.

The Internet business has many advantages, such as low cost, low barriers, fast growth and so on. It is especially suitable for entrepreneurs who do not have too many primitive accumulation funds, and the cost of starting businesses through the Internet is also declining. This is also one of the background of the current Internet boom.

But even so, at the beginning of the business, capital is still a high threshold, and many entrepreneurs are excluded. Therefore, if we want to start a business, regardless of success or failure, financing will become a top priority.

The first step in financing is to select investors.

Generally speaking, investors are divided into two kinds, one is angel investor, the other is venture capitalist.

If the website project is in the seed stage and has not yet been formed, it is better to give priority to angel investors.

It would be more appropriate to describe the angel investor type with three F: Friends, Family, Fools.

For example, the Chinese IT community financing target is located in angel investors.

This is because there are huge risks in the seed stage of website projects. Only friends, relatives, or "idiots" may be touched by your project and invest for you.

Venture capitalists intervened in seed stage, not without, but too little.

In addition, if we look for venture capitalists in the seed stage, because the prospects of the website project are hard to predict, the entrepreneurs are in a weak position, and the equity will be diluted to the point of becoming a migrant worker, which is not what many entrepreneurs would like to see.

So, when you just have a website idea, ask your relatives and friends for help, while looking for the "fool" around you.

The so-called fool is not that these people are stupid, but actually they are often the opposite. These people are very discerning, think ahead, and invest money in some website projects that others do not seem to have good results.

These people may be experienced in some field or have a successful entrepreneurial experience.

Take care of your circle of friends, and if you are lucky, angels will come, of course, with RMB.

The second step of website financing is to melt money, melt things or merge people.

It can be better to melt directly into money.

But if it is very difficult to melt money directly, we can consider melting things and melting people.

The so-called melt things, that is, investors need to use some of the resources needed to do the website as an investment, such as the establishment of websites, the need for high-performance servers, just when someone has spotted your website project, he will provide the server as an investment.

It is said that Chen Tianqiao did online games in the past, that is to get the server through this way, laying a solid hardware foundation for the success of his online games.

The so-called integration of people is that if you lack experience in a certain area, you can ask some professionals for help and persuade them to join.

For example, Internet marketing has now become a very professional field. It can find like-minded partners who have professional experience in network marketing. Your website project is a great step forward from success.

So, what kind of website is favored by venture capitalists?

In the view of venture capitalists, the 1, creative business plan is also replicable, and the overall strength of the team is difficult to replicate. Therefore, when they invest, they often value the entrepreneurial team with cooperative ability rather than those who have no idea.

Any company investing in venture capital will change its profit pattern from the beginning to the final listing. It will make all kinds of adjustments, but the leadership team is the core of the enterprise.

Capable entrepreneurs can also find good solutions when they encounter setbacks in their creativity. When market demand changes, he can also find other market demands and even create demand.

To be specific, entrepreneurs must have several qualities -- honesty and trustworthiness, sharp grasp of policy tendencies, good integration of all kinds of resources and strong team awareness, legal awareness and risk awareness.

In addition, the integrity of the entrepreneurial team is also valued by venture capitalists. Once the business team is found to have problems with integrity, one hundred percent of VC will refuse to invest.

Sun Wenhai, de Fung Jie, once said that as VC, he was most reluctant to see the integrity of the entrepreneurial team.

"When entrepreneurs start financing, if we find that there are problems with integrity, I believe that 100% of VC will reject you, which is the last thing VC likes."

2, the ability to create a business model. There are many discussions about the industry of "Chaoyang or sunset industry". The author agrees with the statement that "there is no sunrise or sunset industry in the world".

The industry is cyclical. Just like the cycle of enterprise development, the cyclical rising industry must be more successful than the cyclical stagnation or downward industry. Moreover, enterprises in the rising channel usually have a good future expectation, which is a fact that the capital market is willing to accept.

3, whether the project itself has core competitiveness, whether there is enough room for development, whether or not there is the same business model, if not, then is there any basis for this innovation?

Is there enough potential market support?

Is the profit model clear?

Is there any problem in the industrialization or commercialization of products?

If this product already exists, then what is the concurrence relationship with existing enterprises?

Is it possible to have a fair say in the future industrial competition?

Sincerely, conscientiously and diligently, continue to work hard, constantly abandon others' cynicism, and be more resolute and resolute and win the conviction, constantly learn useful new things, constantly investigate, analyze, study the market and projects, constantly excavate and search for entrepreneurial resources, constantly overcome various difficulties and solve various contradictions encountered in the business process, constantly sum up the lessons of failure and successful experiences, and constantly expand their strength and scale, so that the money on your books will continue to increase and increase again, and you will surely stand up from the mire of failure and succeed, and from success to greater success! Although it is not easy to start a business, but as long as you have the eternal passion to start a business, you will work hard from beginning to end.