First, what should enterprises pay attention to when looking for venture capital?
1. Many friends thought hard and came up with a good idea. Then, like a baby, no one will say anything, thinking that you can get investment and make a lot of money by this. Ideas are important, but there are different patterns. However, if you have some money, no one will invest.
2. Company structure
Many people think that if you want to get venture capital, you must first set up a company. The author's suggestion is that instead of building a big ship to go to sea, it is better to row your own boat first and move forward bravely. Many large companies have developed from family workshops.
3. Partners
Entrepreneurship is a very difficult thing. Many people who have had entrepreneurial experience know that it is actually very, very difficult to go alone. It's completely different to have someone to share it with.
However, for venture capital, they usually prefer simple share structure to complex structure. There is a simple reason. There are too many people to make a decision on refinancing, listing and liquidation. If one person doesn't agree to sign, it will be very difficult.
4. Profit model
A good project must have a good profit model. The first generation of Internet companies in China, such as Tencent, Sina and Baidu. It is only with users that we have a profit model.
But my suggestion is that unless you can have a large number of users (tens of millions of users), you must have a good profit model to attract investment.
5. Market capacity
Good projects need large market capacity. Investors want to invest one yuan and return one hundred or more. Therefore, there must be a big market and a good story to attract investors.
6. Advantages of the project
If someone else does it, you can start a project like yours right away?
Always keep the sense of innovation and see the world with your own eyes, instead of going with the flow.
Originality is the favorite of VC.
7. Project progress
Does your project have only one idea, or has it achieved certain phased results?
You must prove that only you, or your team, are the best candidates for such a project!
8. Do I have to introduce you?
Looking for VC, it is best to be introduced. However, if you don't know such people, can't you find VC? Someone introduced it, of course, it is the best, but at present, information is developed, good projects are few, and investors flock to it. Therefore, it is recommended to attend one or two such project briefing meetings. Good projects will naturally attract people's attention.
9. Business plan
A business plan is actually a story telling. What do you do, product or service? What kind of people are doing it? What are the characteristics and where are the users? Where are the competitors and advantages? How much do you want to take and what do you want to do with it? Many entrepreneurs write business plans, just like universities write papers. First, they used a lot of space to explain some international and domestic situations and make up the numbers. Actually, it's not necessary, because everyone is very busy and doesn't have much time to listen to your boasting. Just make things clear. If one page can make it clear, two pages are not needed.
10, policy risk
VC attaches great importance to policy risks, including legal risks. This must be noted. Whether your project is allowed by the state and whether it belongs to the project advocated by the state. A good project should keep pace with the times. It is always easier for the government to advocate and the times need it. If you check the project at both ends every three days, it is difficult to get VC's approval.
Second, what kind of projects are welcomed by venture capitalists?
Technological innovation and adoption of new technologies are the favorites of venture capital. Its innovative technology can greatly save the cost of CDN and has advantages in the competition. Its technology is said to be the future development direction.
The market prospect is great. More than 95% of foreign websites use CDN, and only 5% in China, so there is a lot of space. There are many listed companies abroad, such as akamai, which have a large market value.
There are already a certain number of users, which means it's not just bragging. This is very important, perhaps, the evaluation of it by these users will determine its future.
The favorite investment project of venture capital is that it can start a prairie fire without fire. This fire is money. Many entrepreneurs spend a lot of time looking around for investment. Here, the author reminds entrepreneurs, are you ready for everything except Dongfeng? If not, let's get things done first. After all, the first thing venture capital should look for is the project with the least risk.