Zhou: Entrepreneurship is a marathon

Early start, is a "1", but can do much, it is necessary to see in the 1 behind can make how many 0 out, this need to join a lot of capable people together to create. If enterprises want to develop, to be bigger and stronger, we must introduce talent, the backbone of the enterprise continue to expand. But there is a problem: how can a person come in and merge with the original team? This is a problem that many enterprises will encounter in the course of development. Here, the author has a suggestion: if you want to break through this bottleneck, in the incentive system design needs to give a big change, is to prepare a large pool of equity, regardless of old employees or later, can be the continued growth of enterprise value benefits, so as to ensure a virtuous cycle.

Entrepreneurship first is a marathon, not 10 years eight years, is not the result. Entrepreneurship, like a relay race, requires fresh blood to generate a wave of power. So, entrepreneurship is the speed of hundred meters sprint, a wave after wave to run a marathon. If not these newcomers to join, is always that a group of old people to run marathons, it is not run how far is eliminated, is halfway tired vomiting blood. Therefore, enterprises should have a good incentive mechanism, so that you at every stage, can have a group of people, can take this baton, continue to run down.

If there is no good incentive mechanism, the new and old team will have problems in the running-in. New forces into the old team, like the milk into the coffee, if not very good stirring, coffee is always coffee, milk is always milk, drink it is certainly not a taste. Early entrants to the company will consider themselves as the first batch of "elders", fearing that new people will replace their status, may have a strong rejection of emotions. The new people will feel that their ability is stronger, why can the Senators enjoy the right to a comfortable share, they can only earn that part of the annual salary? These two ideas have not been resolved, will be formed in the company of independent small groups, so that two people drift away.

So, I think the enterprise should establish a kind of value. First of all, we recognize the value of early employees, you can get the earliest stock options, your terms are the most favorable. But you have to recognize the people in the back, you can not treat him as an opponent. Second, the newcomers in the back, the company also give them share options, their hard work to get the corresponding return.

Here, I have some suggestions to share with entrepreneurs.

First of all, must be the company's equity, set aside a lot of space, do not kill the goose, just start the business is suddenly divided into a bottom, it is divided. When we started 360, we didn't start financing, we took out 40% points to the staff and the team first. Later, though diluted by multiple financing, more than 20% per cent of the shares were allocated to employees when they were listed. The proportion of 360 employees in all Chinese Internet companies should be the biggest.

Second, the founder must be brave to sacrifice, cannot monopolize the stock. Notice "People gather together, people scattered wealth." 360 of the employees are the company's biggest shareholders. My EQ is not high, bad temper, but there are many people willing to cooperate with me. In 360, and I have been working with people, there are more than 15 years, there are more than ten years, seven or eight years is everywhere, probably because I am willing to share with everyone.

Finally, to give future opportunities, have a long-term sense, maintain a certain share incentive. Take out 40% points, there will always be a part of the day. The shares are divided, don't we need the talent? An enterprise is always thirsty for talent, always demand. So before the listing, we made a plan, once our stock is finished, we can further issue 5% at any time, will always maintain 5%.

360 of employees maintain good stability and creativity, which is inseparable from the 360 equity pool design. There are a lot of key forces coming in, one because they have dreams, they want to find a platform to realize their dreams, and another reason, not virtual, is to get better economic returns. Therefore, the establishment of a reasonable pool of shares in order to continue to have "flowing" injected into the new force to drive innovation, which is an important key to the development and expansion of enterprises.