How should entrepreneurs look at the advantages and disadvantages of investors?

For work reasons, there should be hundreds of entrepreneurs or even thousands of entrepreneurs. How to judge a good industry worthy of investment and select a good entrepreneur in this industry is what I had to do every day.It may take a long time to invest in a project. Let's first look at the industry and business model, and then look for good enterprises and people,This is the standard sequence for completing an investment project. In turn, how entrepreneurs can find good investors can also be viewed in this order.

To select a good investor, I think the only criterion is to select funds or investors who have invested in many projects in this industry.

At this stage of social development, the professional division of labor is not only reflected in enterprises, but also in the investment industry. Since one person or organization has limited cognitive abilities and resources, even Buffett can only focus on the insurance, banking, and consumer goods industries, no cool or investment institution is omnipotent. Investment Institutions will gradually form their own investment style and focus on the industry in the evolution. Even some investment institutions, such as Blackstone and Carlyle, have set up funds for a specific industry, to achieve better focus and refined investment.

If an investment organization has accumulated a lot of investment projects in a certain industry, it will gather experts from this industry. On the one hand, you will tell him about your company, he understands it quickly, and he can help you improve your business model and upstream and downstream resources.

If an investor or investment institution has money or is well-known, and chooses this investment institution, then the following problems will gradually emerge. Because this investor may have invested in you with painstaking efforts, as long as the industry or your company is a breeze, this investor will be very nervous and will keep worrying about you and help me, due to short-term profit pressure, the company's development strategy is distorted.Investors who have a deep understanding of the operation rules of this industry can help you analyze the problem, discuss countermeasures, and shoulder the low tide of industry or company development. This is also the fundamental difference between a mature investor and a famous or rich investor.This difference is not obvious when the company develops smoothly, but once it encounters a problem, the difference will be obvious. However, investment projects will probably encounter such a situation at a certain stage. For example, when Buffett was investing in the reinsurance business, there were several years of impact from the U.S. hurricane, but Buffett was very happy because he knew that after this stage, the next year's premium rate would definitely rise sharply, the profit of the reinsurance business has soared. If I met an investor who had no experience in the industry, I would have been so scared that my pants would have been lost in those difficult years. I thought about how to deal with this position every day, this is the difference between an investor who has a deep understanding of the industry and an ordinary investor.