Zhou Hongyi: no matter how big your business is, investors have to shout big brother.

Zhou Hongyi: no matter how big your business is, investors have to shout big brother.

"In addition to enjoying the dividends of policy and population, financial capital and venture capital have also played a vital role in the development of Internet in China in the past 20 years."

On November 8, 2018, at the Forum of Financial Capital and Internet Technological Innovation of the Fifth World Internet Congress, Zhou Hongzhen, Director and CEO of China Creator Group 360, made a speech.

He recalled that in the past, when domestic venture capital was still immature, many entrepreneurs neglected innovation in order to survive, had to think about some practical problems, and finally did not create a solid business model.

Zhou Hongzhen believes that financial capital and venture capital play a vital role in helping domestic entrepreneurs to innovate and develop. When entrepreneurs have the financial capital to help them, they can really polish their products and improve their user experience.

The following is Zhou Hongyi's speech at the forum.

When we talk about innovation in Silicon Valley, we often only see the halo of entrepreneurs, but ignore the role of capital in it. It seems that once we chat, we are ashamed to talk about money. Money is not everything, but no money is impossible.

When venture capital in China is not yet mature, I start business in Zhongguancun. It's hard to start a business at that time. Even if you start business, it's hard to innovate.

Because every entrepreneur is faced with a problem when trying to innovate: to survive or to develop? Without money, of course, nothing can be developed, so we can only live first. In this way, many enterprises have no mind to innovate and have to make some realistic choices.

At that time, many start-ups in Zhongguancun did not flourish like the Internet in China, because they had no money, and it was difficult to carry out truly valuable innovation only by self-rolling accumulation.

In the end, many enterprises survived and even earned money, but they did not cultivate genuine innovative genes, nor did they create a solid business model.

So I think that in the past 20 years, in addition to enjoying the dividends of policy and population, financial capital and venture capital have also played a vital role in the development of Internet in China.

Many entrepreneurs will ask me in the development process, what is the idea? I said you should find investors, get financing first, at least for the first 18 months without considering the problem of earning money, which gives you the capital to verify your products and models.

When entrepreneurs have the help of financial capital, they will really put their minds on polishing products and improving user experience. Even if you haven't found the right business mode yet, you can still start the company in advance.

Nowadays, many successful entrepreneurs talk about the history of revolutionaries. They often talk about how they cut six generals through five hurdles and how smart and innovative they are. But few of them thank the angel investors who gave him the first money.

Maybe you have this mentality, investors have earned money from me, and many entrepreneurs hate investors, feel that investors make a lot of money without pains. Or as I said earlier, no money is absolutely impossible. No investor will pay for your dream in real gold and silver, but also want no return.

As an entrepreneur, I feel very deeply about this aspect. Financial capital, including venture capital, will greatly promote innovation capability.

No matter how big your business is, you have to shout a big brother to see your investors. Because they gave you the first money and a ticket to try when you had the hardest time and the least money.

Including 360 delisting, I would like to thank many investors for their help, without them, without the help of financial capital, I may not be able to complete this matter.

In the past, many traditional enterprises felt that they had 10 billion yuan of cash in their hands, but today BAT holds 10 billion yuan of cash. Looking at the number of small giants that are not listed, the amount of financing has exceeded 5 billion dollars, and the amount of cash in their hands has exceeded tens of billions of yuan. You know that the Internet in China has been developing for 20 years. After that, it was no longer the period when the 20 million yuan was in full swing.

Whether artificial intelligence or industrial Internet, we need a lot of investment and big bet. And the talent in these fields is very expensive. If you have hired AI experts, you should know that it takes a lot of effort to find someone today.

All this needs the help of capital. Without the investment of financial capital and venture capital, the ideal of entrepreneurs may remain on the lips forever.

Finishing / Xue Xing Xing editor / Suqi proofreading / Li Lijun

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