Zhou Hongyi gives advice Entrepreneurs financing faster than the price is more importantA problem th

investors like me very much because they all make a lot of money from me, but I also feel a lot of help from them. I remember Liu Shaoji said a word, "eat small losses accounted for a big deal, and some people are small, cheap."

I have seen some entrepreneurs have good ideas, just like holding a gold doll, I think the whole world has only one person, I can think of myself, this idea into the money will certainly be successful. So many entrepreneurs in the early days, with many investors on the care of the go, if you can not raise the company’s financing price a little higher, I feel I do not have the face. I’ve always argued that entrepreneurs at the angel and A rounds are the ones who want to get money quickly, and maybe you won’t be able to get the money for the first time because you don’t have any experience.

      the so-called "parasitic profit model" refers to the profit source of profit from the original profit system, part of the new system in the object, if the new object in intervention can bring profits and benefits to the system of substantial growth, each of the participating objects because of the large scale growth get more benefit, then the new profit model even if it is successful, but one thing needs to be pointed out is the new system involved in object intervention did not bring new profit point or a profit growth point, but through their own intervention through the system operation efficiency, cost to reduce the other ways and means to achieve the amplification of profits, the expansion of the original income; and if the new system is involved in the object involved and did not give the whole system As well as the enlargement of the interests of each participant in the system, the new system will undoubtedly become the exploiter of the system, and this new profit model is a failure.

news July 6th, 2013 dark horse contest software industry competition held in Nanjing today, Qihoo 360 founder Zhou Hongyi attended with a keynote speech. The following is the full text of the speech.

I tell you a personal example, my first company when there is no point of financing experience, then VC just for the returnees, later I finally saw a IDG, there are a lot of rumors, IDG asked me how much money do you want, they expect me to be the 200 Wan Meijin. But I fear in mind, said enough 2 million. They asked me, "2 million dollars?" I said "RMB". He was oppressed heart joy that investment 2 million, to 25% of the shares, this condition? Certainly not good, but I have never regretted it, even I never complained of his IDG, from my company earn more than 100 times the return I still feel very happy, because why? I do not think that the money I would not have access to the Internet, there is no later attempt.

real financing success, will pay the price for the high price of financing, such as the high valuation, investors do not feel safe, it must do with him on gambling, which often leads to a lose lose situation. For a fledgling entrepreneurs, I think the most important thing is to make money fast, fast work, the product to do it fast, bring the product to go fast, finally prove your value is not your financing price, the value of time but what you do after the success of mergers and acquisitions of listed or you. High financing prices do not represent real success. Financing is only a means. The most important thing is to do a good job in your products and markets.

      network profit model construction need to pay attention to a problem, is the profit model is divided into "parasitic profit model" and "value-added profit model", in order to express this problem, under the first profit model, the profit model refers to a system of commercial architecture system in the object based on the system to create business value to achieve their profit strategies, ways, methods and means. Therefore, the profit model is based on these business value creation, profit and return strategies, ways, means, methods and methods to build a whole business architecture system. But the whole business system architecture is cannot do without participation of the object system, so the profit pattern is not from the system participants to talk about, in fact often build a new profit model is the need for new participants involved, so the new profit model and the new system participants have a certain relationship in this paper, to divide the profit model is based on the nature and type of contact.


Zhou Hongyi’s three advice to entrepreneurs

      the so-called "value-added profit mode" is a new system of participants involved, bring new benefits and profitability and profit growth point, to the system as a whole and system each object will bring more revenue, the interests of the amplification of profit expansion tend to have more space to play, rather than "parasitic profit model" that the interests of the amplification by various resource constraints, so the growth rate is the bottleneck, it is difficult to have a big breakthrough. The understanding of this issue, has important practical significance to build the network profit model, because of the use of the Internet technology and the means to achieve new profit model, it is to build a network platform in this system, they brought two major new objects in the network platform for the entire intervention system:


recommendation 1: financing is more important than price,

what qualities should an entrepreneur have? In fact, a lot. But I want to say two things: mind and pattern. I’ve been talking about one of the most common mistakes entrepreneurs make – the lack of an open mind and a cooperative, shared mindset.


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