Monday, November 2, 2015

Winter capital entrepreneurs are no longer plain

  An acre of layoffs are causing more interpretation, one of the most confusing is that rumors of capital divestment. Although, an acre of land that had been so archaic folk song, but the industry's doubts persist. One reason is because an acre of farmland lack credibility, on the other hand, is a capital venture capital attitude really tend to be cautious.

  Said one person close to Sequoia Capital, the investment company became conservative, is no longer so radical in venture companies. Feedback from capital circle is: stock market gives many listing for any company cast a shadow over these companies in financing is no longer a ridiculous price.

  One industry more than 20 years of media executives suggested that the bubble is burst of entrepreneurship. I think the problem is, 2015 and beyond, and will repeat the 2000 global Internet bubble?

  The stock market crash of 2000, Sohu, Sina, NetEase company fell below 1 dollar, but for Zhang Ding hang these predecessors, perhaps just a portal is not a brilliant decade. Certainly, that was most uncomfortable not just these people, Ma was busy pull up stakes for their internationalization, close branches or agencies worldwide. Lenovo, the diversified prove to their pain temporarily is bad.

  My personal view is that mobile Internet business in 2000 and in the age of Internet start-ups, there are essential differences, although there are foam, foam is not significant.

  An obvious example is mobile Internet business category, many of which are in the form of ground, such as O2O, which was a fusion of offline resources business moves.

  To car related of industry for cases, regardless of is drops drops for representative of taxi industry, also is China for representative of car rental industry, e generation driving for representative of generation driving industry, or e wash car e maintenance these service industry, its nature is mobile Internet and line Xia entity economic of close bundled, so, as long as entity economic of needs also in, mobile Internet venture basically on effect is unlikely to.

  In 2000, however, business is not the case. For example, NetEase's mailbox, SINA news, Ali's online shop. For users, these are requirements, but at the time it is not needed. Users can write, you can buy newspapers, supermarket, in 2000 the Internet company, and offline in the real economy to a certain extent, fragmentation is still serious. Ling Hu Zhengyu College students private space

  However, we must also soberly realize: Mobile Internet business model is new, but a bubble, its surface covered with Internet thinking is a liar, roiled the markets.

  Capital levels, the stock market used to be the institution's ATM. But now the stock market many investors became calm. Because the capital level, exit mechanism is a critical part, although we have seen of many long-term investments cover institutions and individuals.

  If the lack of a good exit, then, when capital spending every penny will be more cautious. Therefore, companies to raise money today should be grateful, not raise money startups need to stay calm, this is not alarmist talk. Survival period is 3-5 years of China's SMEs, startups will be longer than this? not likely.

  For startups, capital winter is an opportunity to shuffle. Bombastic cheat capital startups will large numbers of dead, survivors, valuation of how rational view of what is important.

  However, foreseeable is similar to Sequoia "without first signing the contract," the case is not expected to see in the future. Of course, the facts show that, without a contract is in the first paragraph of the so-called farce.

  Winter is coming, start-up companies in preparation for winter.