How do I pick investment projects

For me, angel investment is a relatively casual thing, and there is no overall strategic layout, there is no need to do a corporate empire so grand idea, think those projects have meaning to cast. I prefer the two Silicon Valley VC like http://www.aliyun.com/zixun/aggregation/16722.html ">KPCB" or Sequoia, a very interesting business, basically they invest.

In dealing with the relationship between the entrepreneur, I speak the style is straightforward, the feeling is more powerful, but in fact, I am very respectful of the entrepreneurs in decision-making, a lot of investment companies I do not even directors. It is unlikely that startups will be able to rely on shareholders to vote on their problems, and it is unlikely that outside investors can dictate something. I always say to the entrepreneur, you as CEO, you come to make a decision, I just tell you the proposal, because this is your business, not my business.

This is the simple truth, if I decide to do this thing, then why do I have to invest in others? I jumped in and did it. Since I choose to invest in them, the future of the enterprise can be made, depends on whether the entrepreneur can continue to grow. You can hardly imagine that the CEO does not grow up, the enterprise will do a lot. Therefore, I will spend a lot of energy to tell them about life, the truth of doing things, his past experience and lessons told him, through this kind of persuasion, the way of instruction, really help him, affect him.

Some young entrepreneurs don't quite understand this "strong", I think because they are immature. Since I want to invest in this enterprise, then of course to point out your problems, to help you solve the problem, after all, bitter, if you are perfect, what else do I do? Also because of these factors, have encountered some very regrettable projects, both sides eventually missed, such as in the investment Thunder before I had contact with a similar enterprise. So, in making Angel Investments, I have three choices for entrepreneurs:

First, entrepreneurs have to admit that they are not very good. If you are already the best person in China, it will be successful long ago, each of us has a lot of shortcomings, and the industry has been changing. So to investigate whether he has self-reflection, self-learning, self-improvement ability, can listen to criticism, can face their mistakes, can fix themselves. If especially stubborn, especially conceited, self-righteous, even because of luck to achieve some results, but ultimately do not.

Second, it depends on whether the entrepreneur has an open mind and is good at cooperating with others. The spirit of cooperation is very important, a person is difficult to accomplish, need to build a team, and angel investors are also a kind of cooperation, in the future with a large number of employees can be combined. If a person works particularly alone, I think the future is also very difficult to big. For example, some entrepreneurs find I hope to help him, of course, I can not help you, after all, not to do charity, we should have common interests, you want to share with me the company's shares, I may be fully to help. But some people think their company is valuable and unwilling to share it with others. In fact, for me, I do not care about this interest, but will give up the lack of open spirit of the entrepreneur, because of fear in the future if the need to sell shares to find talent, he may not be willing to.

Third, entrepreneurial success is about a short period of three or five years, a long seven or eight years, the process will encounter a lot of difficulties, entrepreneurs need to pay more arduous efforts, but also have the spirit of perseverance, toughness.

And for the valuation of the Angel investment Project, in fact, there is no secret, there is no valuation method, is to pat the head, find psychological balance point. Generally asked how much money entrepreneurs need, is 1 million or 2 million, as to the number of shares, that is, after the bargain, everyone psychological balance on the line. Because early projects have only one idea, no revenue, no profit, no scale of the number of users, at this stage is "a willing to fight, a willing to get".

This paper starts in the journal of pioneering state