Zhang Ying: China's Internet investment sector will usher in the winter

Absrtact: Zhang Ying-jingwei, China's founding partner, issued a "letter to the chief executive of Jingwei" one months ago, saying that China's internet venture will usher in a cold winter. One months later, Zhang Ying came to the site of the Wise 1.0 convention, and 36 Krypton co-founder Wang

Jingwei China's founding partner, Zhang Ying, issued a "letter to the chief executive of Jingwei" one months ago, thinking that China's internet venture will usher in a cold winter. One months later, Zhang Ying came to the site of the Wise 1.0 Congress, and 36 Krypton co-founder Wang to share a round table, reiterated his "cold winter is Coming" forecast.

This time he explained his understanding of the cold winter more accurately:

Because of the profit-driven nature of capital, the fluctuation period of the future capital market will be more and more short; The Matthew effect will appear in the capital market, and the resources will be concentrated to the high quality enterprise and the quality investment organization. Entrepreneurs who succeed are always in the minority, but now the base of entrepreneurs is bigger

Zhang Ying said the open letter one months ago was just a reminder to the department's founders, but the spread was far beyond their expectations and had a big impact. Now, Zhang Ying feels that in the cold winter, what entrepreneurs need to do is:

Early to get money, take more money, in the cold winter and competitors to pull away; Consider whether you are suitable for your own business or to join a start-up company, become a start-up company's core staff is also a good choice; technology start-up companies should do a good job in a year to invest in cash flow enterprises, to grasp the ROI of products, Find a reliable sales director.

Zhang Ying said that in the winter of spending money, disorderly promotion, user activity and retention rate is lower than entrepreneurs will be very dangerous. This business model of 2VC will die. He pointed out that there is a bad phenomenon, is that investment institutions and entrepreneurs signed the TS after the reverse, the recent probability of suddenly high. Now the competition between the various agencies is very fierce, we are more and more inclined to rob the case first, even to the bridge loan. Then the investor examines the data, observes the product, monitors the user, and finally feels that his valuation has been wrong or something, so he reneged.

So in the cold winter, how should investors help entrepreneurs? Wang and Zhang Ying chat to the post service problem, Zhang Ying also gave his own suggestions:

Investors must first help the entrepreneur plan, the next round to take the money, weigh the valuation problems and find the right investors in a lot of investment intentions; investment institutions don't help, the founders know more than you do, and the founders advise them to be very cautious; the resources that entrepreneurs really need are: government PR, media help, financial compliance, Industry data provision, recruitment services.