Top ten standards for excellent entrepreneurial projects
In the past, I have briefly introduced the four prerequisites for my choice of projects, that is, "the general direction is very good, small direction is validated, excellent team, high return on investment." About the general direction, mainly to see whether this direction 5-10 years long-term optimistic. Each investor has his own unique insights, at present I am most optimistic about the direction of mobile Internet and e-commerce, of course, I also would like to study some new directions. With regard to the return on investment, the goal of the early venture capital returns is 10 times times the return, the Angel investment is earlier than the early venture capital and the risk is higher, so the return of the angel investment demand will be higher. In this way, the key issue of investment is the specific direction and team.
In my opinion, teamwork and direction are complementary and indispensable. In other words, if the entrepreneur ability is insufficient, the good direction and the opportunity also is very difficult to grasp; How to evaluate an entrepreneurial project, I have summed up 10 standards for your reference.
One, the team (investment is to cast people.) People are the most critical factor, if the entrepreneurial team is very good, even if the specific direction of the deviation also has a very strong ability to adjust themselves
1 insight into the needs of users, the market is extremely sensitive
2 lofty ambition and down-to-earth
3 It is best to have two or three complementary people to start a business together
4 must have technical skills, and can bring the team of technical Leaders (Internet project)
5 Fast expansion capability at low cost
6 The person with a good resume is preferred, such as being a big company executive or having an entrepreneurial experience.
Ii. direction (doing the right thing at the right time)
7 to do the most fat market, choose their own to do the largest market. Only big market can make big enterprise, small pond can not raise big fish. The direction of a slight deviation, will waste valuable entrepreneurial resources.
8 Choose the right time point. The market is basically mature, enterprises have embryonic form, the introduction of Angel investment, the business will be explosive growth
9 Focus, focus and focus. It is best to do only one thing, so that you can do the ultimate thing!
10 the business is validated on a small scale and has the opportunity to be one of the top positions in a vertical market.
People may feel that the above conditions are very harsh, do not have these conditions can not be successful? Of course not, these conditions are not absolutely necessary, but the entrepreneurial team with these conditions will be more successful. Especially in the current market environment, as the global financial turmoil swept around the world, venture capitalists on the project to review the standards will become more stringent, to meet the conditions the more the better. If these 10 fully satisfied entrepreneurial projects, is the investor's eyes of the perfect project, it will be easy to get investment.
In the past two or three years, I have used the ten criteria to choose some items, such as VANCL, Innovative Technology Alliance, UCWeb excellent visual movement, Lakala pull card, Duowan more play. These companies when I invest, either only a dozen people, or just a idea, in a short span of two years, each completed more than two rounds of institutional financing, currently has more than 200 people on the scale. Today, the performance of these projects are very good, and all of these are inseparable from the ability and entrepreneurial direction of the entrepreneur.
Finally, I would like to share one of the most important tips for investing: Acquaintances are more likely to be successful. The integrity of the entrepreneur is the premise of investment, no matter how long it takes to communicate with entrepreneurs, it is difficult to build enough trust with each other all of a sudden. Angel investors as a result of personal behavior, investment before the ability to do enough due diligence, investment and basically do not participate in management, so the demand for good faith is higher. The introduction of acquaintances, equivalent to the integrity of the entrepreneur endorsement. Blindly send the project book, the difficulty of getting investment is much higher.
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