Early the next morning, Ankang went to Zhangjiang Hi-Tech Park to attend a meeting on business incubators.

This was organized by the Zhangjiang Hi-Tech Management Committee, and some of the heads of start-up companies and financial companies were invited to participate. The topic of discussion revolved around the financing of start-ups.

Zhangjiang Hi-Tech Management Committee is a very efficient government agency. Ankang has been investing in TMT projects, so he is familiar with many people in the management committee, and he also appreciates the work style of the management committee. Don't talk nonsense, act resolutely.

The development of Zhangjiang Hi-Tech Park and the enterprises in the park has been very good in recent years, which has a great relationship with the execution of the management committee. It's all people who want to do things, and that's easy to do.

The topic of this meeting is actually a cliché. For start-ups, there are many difficulties, but the biggest difficulty undoubtedly comes from financing. Start-ups have neither formed industry creditworthiness, nor have suitable collateral and pledges. Most of the money is cobbled together by entrepreneurs.

In the process of starting a business, whether it is smooth or difficult, capital is always with you. Many startups fall on the eve of success because a penny is difficult for a hero.

It is said that Tencent almost sold QQ for 1 million yuan in the initial stage. That's where entrepreneurs get tough.

The Zhangjiang Hi-Tech Management Committee deals with these startups every day and knows their difficulties. This is not the first time that this kind of meeting between companies and investors has been held, and it is held many times a year. Ankang is also very familiar with it, and naturally knows where the bottleneck is.

"I would like to ask the entrepreneurs, if you are a bank, there is a small company that has never dealt with you and now asks you to borrow money. Will you borrow it? ”

Some people said "yes" and some said "no", and most of the people remained silent.

"I admire the person who said 'yes'. Why? Because such people are really heroes. As we all know, the risk control of financial companies is very strict, especially for banks. Therefore, the traditional idea of finding a bank loan is basically not feasible.

Of course, it's not completely impossible, but it needs PR and packaging. Most companies can't do that. The idea of other debt financing and bank loans is actually the same. Some people say, then I have a house, I can use it as a mortgage. If I can't pay it back, you can take the house away. Then I ask you, if you are an employee of a bank. One person can pay back the money with interest every month, and the other person often owes money to the point that he eventually takes his house. Whose business do you want to do? ”

The answers at the venue were also different.

Ankang smiled and said: "Some people may say that my house is worth 2 million, and the bank only lends me 1.4 million according to 70%. If he can't afford to pay back the money, he took 1.4 million away, can't he take it and sell it for 2 million, and make 600,000 in the middle? That's right, there's nothing wrong with that logic at all. But are bank employees willing to do such things? The job of the loan lender is to pick up the customer and then keep an eye on the repayment, and the task is completed. Now he has to deal with people in the asset processing department and negotiate with them about the next steps. And in this process, this employee may have no performance to take. If the house can't be sold for a while, and finally goes through the channel of non-performing assets, the employee will become the responsible party. In this case, do you still think that the bank's employees are interested in your house? ”

There was silence at the scene.

Ankang continued: "The employees of the bank are not willing to ask you for a mortgaged house. By the same token, the branch of the bank doesn't want your house either. They just want to put your house as a mortgage to put pressure on you to make your payments on time. Of course, this is the ordinary case, and there are exceptions. Some banks that specialize in residential mortgage lending have done this business well. However, you must understand that the biggest business and the biggest source of profit for banks is the interest margin, that is, the difference between deposit and loan interest. This is the safest way to ensure harvest in drought and flood. Other businesses can be counted as value-added services. Leaning on the business of interest rate spreads, it is also convenient for you and convenient for the bank. Banks may not have a strong desire to rely on other businesses. ”

With this explanation, many people began to nod.

"So." Next, Ankang said what he really wanted to say, "Instead of wasting time and effort to go through the channels of bank and debt financing, it is better to focus on it and devote all your thoughts to equity financing." ”

"But equity financing is also difficult. Especially for companies like ours that haven't generated cash income yet. ”

"It's not a bad thing that cash income hasn't been generated yet." Ankang connected his computer to the projector at the venue and said, "This is the case of several companies we found. As you can see, the valuations of these companies without cash income are higher than those that generate cash income. The company is almost the same, the business is almost the same, why is the valuation of a company that makes money not as good as that of a company that does not make money? I'll zoom in a little bit so you can take a look at these data. Think about it. ”

Ankang switched the slide mode of the PPT to the editing mode, enlarged the data table for everyone to see, and at the same time prompted: "When entrepreneurs analyze their company's data, they must have a concept in mind: what do investors really invest in? ”

"Product." , "Services", "People", "Future Cash Flows". Many people began to speak out.

"That's right. You're right. Investors don't just look at financial statements, but they also look at something other than financial statements. There are many things to see, but there are priorities. Investment is to invest in people, and investment is to invest in the team. This core is not going to change. That's why companies that start the same way end up with different results. The human factor plays a key role. Secondly, investing is investing in the future. This is still inseparable from the relationship with people. Now it is certain that there is no room for investment. The future is uncertain, which gives investors room to imagine. It's like investing in stocks. If the price movement of a stock is a straight line and remains the same, will anyone still buy the stock? Isn't the biggest attraction of stock investment its uncertainty? Therefore, entrepreneurs need to look at the future of the business. This future is not the future that you whitewash in your business plan, but the future that you boil out like firewood, rice, oil and salt. That's what attracts investors. Investors will never invest in a company based on PPT alone, and investors will only consider whether to invest after many contacts with the company's founders and management team. Equity investment is not a transaction of equity, but a transaction of people. Investors spend money and buy a fraction of the strength of the team. ”