Tips for New Entrepreneurs

From the fair net to the seeds of second-hand car, Yang Hao Chung venture in 2005 has experienced three capital winter, 2009, 2012 and now. In today’s tiger sniffing 2016 F & M Festival, Yang Haoyong shares the entrepreneur’s winter experience in the capital winter.

Yang Hao Chung believes that entrepreneurs in the capital winter to polish a good team, to conduct business focus to find their own strategic business, but also in the winter to build the enterprise moat.

As a continuous entrepreneur, Yang Haoyong that entrepreneurs should continue to challenge their own security zone, to maintain their own ability to long terms, but also to enhance their short board.The following content from the Yang Hao Chung speech, tiger sniff has cut.

Entrepreneurs to think about BMI index

The so-called BMI index, is the user purchase cost, user retention, the user output value of three indices.

User purchase cost refers to how much money to buy users, including line and online all advertising, brand marketing and public relations marketing. The number of users left on your platform is the number of users who will be retained to push back to see how many users will remain on the platform after a year. User value refers to the user in the life cycle to contribute to the company how much money.

Entrepreneurs in the financing process, the need to consider the BMI index, calculate the time to get a user how much the cost of each user can earn much money, the user to stay in the product’s time.

These figures carefully calculated, so even if the company spent a lot of money, the user value is greater than the user purchase cost, investors will believe you, I believe the company should be healthy in the future, to make money, will be willing to provide enterprises funds.

Winter to accumulate brand potential

In any industry can not only you a play, if faced with competitors, then start to find their own potential. I likened the potential to the sea boating, there is a potential company to draw two opponents, you can draw about.

For the seeds of second-hand car, occupation of their brand potential is very important, we have the potential to control in their own hands. Cold winter, Wangjing SOHO rent is also falling, this time to buy customers is very cheap. Our wave of advertising on the market with no one, this is a very good competition.

You are advertising, and your competitors do not advertise, then your advertising effect is more than twice. At this time the same money to get the user you are in a competitor to follow up the case to get the user 2 times, which is very valuable.

Capital winter, and some companies account on the money, some companies fast money. If the entrepreneurial money, finance is healthy, I still support to do some branding, because this is the best time to open the opponent turn overturned.

The existing business strategy for trade-offs

Capital winter, if the entrepreneurial business account on the money is not a lot, then the business focus will become very important. To find all of your business which is most likely to grow up, the most likely to get the rapid development of business, the rest of the business to let go, this is a trade-off.

When the market competition in 2012 and 58, when the real estate, recruitment, second-hand goods, second-hand car four core categories, All of the money is spent on blue-collar recruitment.

The so-called strategy is what to do first and after, and what to do, do not do anything. If you can think clearly, I think this is the strategy, these strategies are not true or false.

The choice of the founder is difficult to do, the team will be sad that the company is not attached to the secondary sector. But if there is no money on the account and face a very strong competitor, there must be a trade-off.

If you have less money, it is difficult to get money, find the core category, all the energy and resources into this category, the category do a good job.

Winter grinding team

Polished team you can also do not have the money , but when winter sanding the best team.Because in good times the company got the money, others put you into God, you have a lot of money, there are a lot of market and staff investment is very excited. At that time the team is just to win the team, but not necessarily the strongest team.

Start-up companies want to recruit people, the need to establish talent pool. Because your company is not necessarily in the best stage, the opponent’s company is not necessarily in the worst stage.

So you fancy long-term contact with him, at this stage does not recognize you, you may have financing to join you. Perhaps he is now the company very good, may not be over a period of time, the best companies will be low when there are also for the boss, there are also doing business is not satisfied with the time, this is the best time to dig people.

Entrepreneurs must recruit more efforts, rather than waiting for this person came in after he found a lot of problems, the ability is not strong enough and so on. Early start-up company core positions need to try to recruit people to ensure that candidates at this stage is the best person to find.

Training people is particularly important, each winter is the best time to train people, because those who only pay attention to cash and the company is very high-speed development before they are willing to play a ride, the last will leave, leaving people are very recognized company vision, Willing to fight along with the company.

In the capital winter, improve performance is very important, the team at this time it is easy to build their own elite.

Thinking about the future, to build a moat

Enterprise moat is very important in the winter when each entrepreneur should consider their own future competition facing the company, where your moat.

If you have a brand, is not deeply rooted people have a good position, and you do all the action is not around the brand continues to strengthen. If it is your technology gene, it can continue to consolidate the technical advantages.

Founder need to challenge their own comfort zone, you do not want to change the shortcomings, eventually one day come back to find you. If you are a product manager do not know marketing is not a good move to sell, if you do not understand the products will not move a good product.

Looking for investors to help me find someone to find sales partners and product partners, at least sixty or seventy of their own product manager and sales, do not understand must be brought to understand people. Entrepreneurs make mistakes is the most do not understand the field, the courage to challenge the comfort zone, to become a sound rather than just one particular area is particularly strong, the other particularly short entrepreneurs, it is very important.

Entrepreneurship is a protracted war, everyone is the same, to dream for the horse to enjoy the process. Cold winter encounter another big difficulty, we must enjoy the process.