Hostess: After more than two months of careful preparation, the "Investment and Financing Matchmaking Forum for the Second Frontier Project" was finally held here today with the theme of "Venture Capital and Enterprises; How to achieve * * * win ".
In this forum, the organizer will invite capital operation experts to study and analyze some hot and difficult issues encountered by franchise chain enterprises in refinancing, and the relevant contents will be webcast through online video of business opportunities, and will also be reported in detail in the later issue of Business Opportunities Online magazine.
Male Moderator: Here are the guests attending today's forum-
Investor representative: Wang Fanglu of CITIC Capital; Hu Xiang, Managing Director of Yidu Junhua Capital Co., Ltd.; Zhang Yongqiang, partner of Zhongsheng Investment Group Co., Ltd. and Investment Banking Department; Peter, representative of Russian pragmatic cooperation group in China; Wei Jingyang of United Securities Co., Ltd.; Angel investor Chen Zhang Jingwei; Chen Tao, Chairman of Shenyuan Group; Qiu Jiawei of Zhongfu Investment; Shangguan Hong of Chengdu Borui Investment Holding Group Co., Ltd.; Zhang Xin of Guojin Investment Consulting Co., Ltd.; Huaxing Capital Li Feng; Cui Chuanzhen, Director and Executive Vice President of Guanghua Tiancheng Investment Co., Ltd.
let's give them a warm welcome!
hostess: I'd like to introduce the representatives of financiers who came with excellent projects. They are: a delegation of Gaobeidian Municipal Government led by Vice Mayor Bai Jiwei (including Zhang Runxing, Secretary General of the Government, Liu Guanghui, Vice President of the Government Office, Zhu Baoqing, head of Xinqiao Township, Li Zilong, Director of Transportation Bureau, Baoding Longjitai and Wei Qiang, General Manager of Real Estate Development Co., Ltd.); Guangcheng Song, General Manager of Yongkang Dental Chain; Yu Baozhu, general manager of Branch International Laundry Chain and Beijing Department; Lei Jiannan, general manager of Xi 'an Jinjian Technology Company; Zhao Qi, Beijing State Grid Alliance Technology Co., Ltd.; Li Heng, Qise Guanghua (Beijing) International Cultural Development Co., Ltd.; Xin Yubo, Hanor Shoe Beauty Chain Company; Hu Jianqiang, Beijing Hutong Weiye Technology Co., Ltd.; Big event coffee chain wearing skills; Beijing Global Fashion Trading Co., Ltd. Yan Long; Liu Jianlin, Practice Elfa Education Consulting Co., Ltd.; Hong Kong Zhenwei Shijia Group Co., Ltd. (Fu Liji) Zhang Yacai; Xu Jianzhang of Beijing Haizhihong Technology Co., Ltd.; Li Wenguo, Cangzhou Yunlong Printing Materials Co., Ltd.; Liu Jianxi, head of Beijing Direct Selling Catalogue Project; Liang Yu, Director of Investment Cooperation of State Emergency Rescue Service Co., Ltd..
please welcome them with warm applause again!
Male Moderator: In addition to the representatives of the investors and financiers, representatives from the organizer of this forum-China Net Media Group and the organizer-Business Opportunity Online magazine were also present. They are Mr. Zhang Zhige, executive director of China Net Media, and Mr. Hai Kuo, editor-in-chief of Business Opportunity Online magazine of China Net Media.
Let's talk about Mr. Zhang Zhige's opening speech!
Zhang zhige: dear mayor Bai, dear gentlemen and ladies, good afternoon!
first of all, on behalf of China net media group, the organizer of the second investment and financing matchmaking forum for cutting-edge projects, and Business Opportunity Online (Beijing) Network Technology Co., Ltd. and Business Opportunity Online Magazine, I would like to express my most sincere thanks to all the delegates who braved the cold and got away from busy affairs to attend this forum!
Business Opportunity Online (Beijing) Network Technology Co., Ltd. is a high-tech enterprise established by China Net Online Media Group in 2114, which aims to provide brand investment, joining investment, cooperative investment and agency investment services for the vast number of investment enterprises. At the same time, it also provides entrepreneurial information, entrepreneurial projects, entrepreneurial guidance, entrepreneurial exchanges and other entrepreneurial needs services for a large number of investors and entrepreneurs.
www.28.com is an enterprise investment promotion industry portal website created by Business Opportunity Online (Beijing) Network Technology Co., Ltd., with the aim of building an online home for entrepreneurs and investors.
After four years of steady and efficient development, Business Opportunity Online has established strategic partnerships with many well-known Internet companies, including Sina, Sohu, Netease and Tencent, as well as China Electronic Commerce Association, internet society of china, China Chain Store & Franchise Association and National Market Integrity Construction Organizing Committee.
Entrepreneurs and investors have always been the groups that continuously pay attention to business opportunities online and provide close-knit services for them. However, holding activities such as "Investment and Financing Matchmaking Forum for New Projects" still serves all kinds of customers who cooperate well with the company, including emerging, fast-growing small and medium-sized enterprises or individual entrepreneurs with huge market potential but weak financial strength, as well as various venture capital institutions, private equity funds and angel investors, with the intention of creating a deep exchange for all parties.
Finally, on behalf of China Net Media Group and myself again, I wish this forum a complete success, and both investors and financiers can find their "favorite object" and finally achieve mutual benefit and win!
thank you!
hostess: thank you for your wonderful speech. For this event, Business Opportunity Online, a subsidiary of China Net Media Group, will follow up the whole event in the later period. As a print media, Business Opportunity Online magazine relies on China Net Media Group to extend the -www.28.com website and strive to build a media platform that serves the venture capital group in an all-round way.
Let's hear it for Mr. Hai Kuo, editor-in-chief of Business Opportunity Online magazine.
Haikuo: The Chinese New Year is coming soon. Everyone has a lot to do, and I am deeply grateful for coming to this matchmaking forum.
In fact, our docking forum is a particularly down-to-earth forum for enterprises to do practical things. I once worked in a very small enterprise, making ice cream processing in my hometown, so I especially understand the business owners of some small and medium-sized enterprises, who spend every penny in the process of operation, hoping to spend every penny on the cutting edge.
Our investment companies' time is also very precious, and they can't waste precious time on worthless projects. We have contacted many good companies in the process of making magazines, and we know which companies are excellent and which ones are worth investing in. Some companies will say that they don't know if they can dock, otherwise they will run for nothing. This mentality is actually wrong. I don't think we should have this idea. Even if the docking is unsuccessful, we can learn all good ideas from these enterprises, so that we are not far from the real listing and the real day of becoming bigger and stronger.
Everyone is reading our magazine, and they are also concerned about franchise chain's industry. We spread this information to everyone in an interactive way, through the Internet and through television. On the one hand, in the past two years, venture capital companies have paid special attention to these enterprises, such as Little Sheep and Yongkang Dental, which have been financed. With capital, we have occupied the national market more quickly. Besides this, we have paid so much attention to this and made so many reports on our websites and magazines. Now the market is "the one who gets the channel gets the world". Nowadays, chain enterprises, such as Yongkang Stomatology and Global IELTS, have so many branches all over the country that as long as there is one branch or a branch, they occupy the channel; Like our traditional enterprises, they have spent a lot of time and may not be able to occupy the market. There is also a foreign pharmaceutical company. What about their salesmen? That is, there is a satellite positioning system on the mobile phone, which can control the itinerary. The company will know whether the salesman has visited our store or not. From this, we can see the difficulty of occupying channels, as our KFC and McDonald's said, "They are not doing business, but doing real estate, and they have occupied the best positions", so I think franchise chain industry is a real gold industry. If our investors invest in this industry, we can really achieve a win-win situation.
Finally, the boss of an investment company is quoted as saying, "What you do is a cash cow. If you keep shaking and have money, you can taste the benefits of the cash cow for a long time." Thank you!
male host: thank you, Mr. haikuo!
Hostess: Next, we will enter the main part of this forum. First, investors will give keynote speeches on the topic of "Venture Capital and Enterprises: How to Win". The second is the docking part, that is, the representatives of the financiers introduce their respective projects, while the representatives of the investors make comments. Finally, according to the opinions of investment representatives, the organizing committee of the forum selected three projects from many projects and awarded the "Project Award for the Most Concerned Venture Capital Institution".
Male host: Please give a round of applause to the first guest who will give a keynote speech today-Hu Xiang, managing director of Yidu Junhua Capital Co., Ltd. If you have any questions to ask Mr. Hu, you can raise your hand and speak.
Hu Xiang: Good afternoon, leaders and friends. Yidu Junhua is an investment bank focusing on mergers and acquisitions, investment and financing services, taking helping enterprises succeed as its own task, and promising to provide the best investment banking services and the most professional investment banking services to enterprises. In the past time, we have done many projects to help many enterprises to do mergers and acquisitions and financing, so the organizers asked us to talk about how to do a better job in financing enterprises.
financing is a very professional and complicated system engineering, and there are different stages and forms of financing. For example, early-stage enterprises may be relatively suitable for angel investment, high-growth enterprises are suitable for venture capital, and companies that need to go public need to go public for financing. Here, I may share some of my experiences mainly for venture capital-oriented activities.
mainly talk about two aspects: first, what kind of enterprises are suitable for finding venture capital? The second is how to operate in the process of finding venture capital.
first of all, what kind of enterprise is suitable? First of all, it depends on the operational characteristics of venture capital. Generally speaking, they have two channels: one is listing, the other is merger or liquidation. For them, if the target enterprise has no possibility of going public or being sold at a relatively high price, they are generally unlikely to invest, and they demand a particularly high return on each project. They hope to have at least twice or even ten times the return in the later stage, and they may hope to have a return of more than five or six times in the earlier stage. Venture capital will invest in many enterprises, but many enterprises may fail, resulting in their inability to recover costs, so they will pay more attention to individual enterprises.
we have to examine the suitability of an enterprise from several aspects: first, the market scale. If our enterprise can't achieve the market scale of several hundred thousand, it is not in conformity. At least make one that has a lot of room for development. Secondly, from the perspective of business model, it will also require enterprises to have their own unique business model and their own unique competitiveness in competition, instead of saying that you are also a good enterprise and I am also a good enterprise. Everyone is similar, which is difficult to meet the requirements of investors. You should have a high-speed growth, on the one hand, your technological innovation and breakthrough lead to your growth, on the other hand, the innovation of business model. China should innovate more business models. If we all compete in the Red Sea field, we can achieve the first and second, and then we can achieve a high financial goal. Finally, in terms of competitiveness, we should also explore the unique competitiveness of enterprises, making it difficult for competitors to copy and compete. This ability includes the ability of the team. If the team is recognized by the venture capital, then the team is also very capable. The first is to look at the team, and the second is to look at the enterprise. The advantage of the team is also the judgment and advantage of the operation project. The team is very important, but the project is also good.
let's talk about how to invest, or financing will be smoother. The financing process of venture capital is generally divided into several stages: first, the stage of self-preparation; The second stage is the communication with investment and financing companies; The third stage is the operation stage, including investigation, including the other party drafting an agreement, setting up a company and restructuring; The fourth is the signing and subsequent delivery stage. The first is the preparation stage. I have always told our customers that if you are not fully prepared, don't go out to meet investors easily, because you won't have many opportunities. If you are not prepared, you may waste opportunities. If a project is in the market, because the circle of investors is relatively small, if you put it in the market for a long time, every investor who makes it will think that your project is average and may not be successful.
this preparation is very important, including several aspects: the first is to dig deeply into the positioning, investment ability and competitive value of the enterprise and show it in the form of a clear and simple business plan. I have read a lot of business plans, which may be in the form of WORD. They have been written for a long time and many pages, which may not be useful. The reason is that venture capitalists have to read hundreds of projects every year. If they are in the WORD version, they will not have the patience to read them. The form of business plan is preferably PPT, as short as possible, a few pages or more, the shorter the better. You're here to communicate with him, not to write this clearly, the organizational structure of our employees, etc. It's not necessary, just to make him interested in talking to you. Business plan is a process that needs to be refined repeatedly, refined to several PPT, and refined to its most important value point, which is competitiveness.
for example, the first one is what I do, the second one is what I have achieved, and the third one is what I will achieve. If investors think your goal is good and worth investing; Second, your foundation and resources are already very OK; Third, your industry positioning is also very good, and I am willing to sit down and communicate with you. I don't want how much money I hope to get in the plan. I don't need to write about employees and organizations, because this is something that can be communicated later. Business plans should be as precious as gold.
it's crucial to sum up one or two sentences besides the business plan. for example, you meet the investment partner in the elevator, and then say what a project I have here is like. Say one or two sentences in one minute to make people uninterested. This matter requires us to do our work. These words may be in any occasion, elevator or meeting. This is very important. This is a technical problem.
Besides refining a sentence and a PPT, we should also do a good job in financial valuation.
Financial valuation is a very artistic thing. There are many financial methods. You can evaluate the value of an enterprise, including the evaluation of net assets, including the comparison of price-earnings ratio. These are always for reference. The first thing investors judge is your competitiveness, and finally look at financial valuation. A mature enterprise has a good cash flow and a good forecast. You can refer to the estimated P/E ratio of some listed companies to make a discounted valuation of our enterprise, or refer to the valuation of the total financing of similar enterprises. For a relatively early enterprise, my performance can't be well reflected. This process may be a bargaining process with investors. I must know how much money I need to achieve a certain goal. This goal is not to go public directly, but to need 1 million or 2 million US dollars. To make this platform higher, I may have a better chance.
second, how much equity I am willing to give away. Generally, financing companies need 21%-31%, or they may be willing to take less, either 11% or 5%. Early companies may be willing to help you, so too small a stake is not enough. They want a percentage. We need to make some preparations, and then we can raise money.
the second stage is to follow the vote.