My Age of Investment

  Chapter 414 It took half an hour to finish? (Seeking monthly pass)

  Jeremy looked at Xia Jingxing with piercing eyes, and asked, “Daren, before you decide to invest in Yelp, you should have investigated the city search for this company, right?”

  Xia Jingxing nodded slightly.

   Jeremy continued: "Can you tell me? Why invest in us instead of them?"

  "It has been established for too long, and the growth of the enterprise scale has stagnated, and the entrepreneurial passion has been lacking."

  Xia Jingxing’s reason made Jeremy a little surprised.

  He originally thought that Xia Jingxing would say that he liked a certain function of Yerp very much, a certain characteristic of the team.

   But the other way around is to understand, why is it that their team is younger and more passionate about entrepreneurship?

  Jeremy smiled and said: "Then let me talk about the difference between us and City Search!

  City search turns user-generated information into an online city guide, providing corporate information about catering, entertainment, retail, tourism, and professional services in various cities in the United States.

  Unlike us, Yelp encourages people to share comments through praise and attention. This is something that similar online products have not done before.

  In other words, we intend to add the concept of social networking to review sites.

  Social network, how powerful, I believe that no one on this planet understands you better than Darren! "

  Xia Jingxing smiled, this is not necessarily true, he knows that someone is more social than he.

   Jeremy continued: "Let me tell a little story about the development of Yelp!

  In February of this year, we launched Yelp 2.0 version, but we did not have sufficient funds for national promotion, so we decided to first focus on making Yelp famous in San Francisco.

   Then, we hired a marketing expert in popular communication. With his help, we invited the most active users on the site and gave them an open bar party.

  Through this kind of party, we found the most active commentators on the site and called them the “elite force” in Yelp.

  And the party organizer, we are called "community manager".

  These people are not paid a penny, but through the party sponsored by Yelp, they have maintained their sense of belonging to the website.

  In addition to contributing high-quality reviews to the website, they also continue to help us expand our business.

  This can be regarded as the offline version of the social network!

  If we have the support of Facebook, I believe that we can do a better job and greatly speed up the expansion of Yerp. "

  Hearing this, Xia Jingxing understood that this brother had found a group of people who did not work.

  But this is also a skill, convinced.

He has almost imagined the scene of the party, a group of people drinking, talking about which restaurant you have eaten recently, which restaurant I have eaten, and then everyone amuse each other, and finally summarize the content of the discussion and post it to Yelp On the platform, it has become a high-quality review of restaurants.

  This kind of high-quality reviews refers to detailed reviews from the dining environment, to the surrounding traffic, to the service attitude, and so on. It has great reference value.

   is not the kind of phrase "delicious" or "not tasty" comparable.

  For a start-up local life review website, this kind of high-quality UGC content can cultivate a good community atmosphere.

  In short, it is to give a sample to later users: if you see it, let’s comment like this, don’t correct those that are useless.

  Xia Jingxing carefully savored the words of the other party, the password of the rise of Yelp in the previous life also joined the concept of social networking.

At present, Yerp’s products have basically taken shape, and a low-cost expansion method has been found, that is, enter a city, hold a party, screen out the most active users, and then enrich the reviews of restaurants and shops in the city, and then a large number of them Ordinary users are attracted...

  This is a virtuous circle, which can encourage Yelp to move forward steadily.

  Cooperating with Facebook can help Yelp divert a lot of traffic and accelerate Yelp’s expansion.

  Xia Jingxing smiled faintly: "You can't let activists work for nothing forever, right?

  You have to give others a little bit of benefit so that this thing can last for a long time, not a moment of passion. "

  Jeremy nodded, “Yes, so after the financing is completed, we plan to give community managers a full-time job so that they have sufficient motivation and energy to organize parties and expand businesses.

  For the active users of the website who actively comment, we also plan to introduce a point system to earn points by posting reviews, and the points can be exchanged for shopping vouchers, discount coupons, etc. for restaurants and various stores. "

  Xia Jingxing felt that the other party was trying to avoid the heavyweights, so he simply pointed out: “Facebook can’t divert you in vain. Even if I come forward, I can only give you a preferential price at most, and it’s impossible to waive the cooperation fee.”

  Golden Retriever Russell asked: "Then Darren, how much do you think we need to finance?"

   "At least raise 10 million US dollars!"

  Xia Jingxing also very enthusiastically helped with the fund allocation plan: “US$5 million is used for daily operations in Yelp, and the other US$5 million is used for Facebook ads.

  As long as the various data on the website are updated, Yerp’s valuation can rise tenfold in half a year. "

  Russell smiled bitterly, “Dylan, Yerp’s pre-investment valuation was only 20 million U.S. dollars. If you raise 10 million U.S. dollars, you will have to dilute 33.33% of the shares. This is too much, and we will need financing later.”

  Jeremy nodded in agreement: "Yes, ten million financing is really too much, in fact, five million is enough.

  Advertising on Facebook, we can’t afford it for the time being.

  In fact, we just want to make Facebook open the interface so that the two websites can share with each other. "

  Xia Jingxing smiled, "Tell me, how do you share Facebook to Yelp?"

  Jeremy scratched his head, this is not so good to fool!

  Xia Jingxing feels that this kid has really become a habit of white prostitution, not to mention the active users who have become prostitutes, and now he has his ideas on investors.

  Jeremy watched Xia Jingxing not speaking, he kept looking at himself playfully, finally feeling a little embarrassed.

  However, he has always been a thick-skinned person and said with a smile: "Then, Dai Lun, we still raise 5 million yuan. When the next round of financing is in place, we will go to Facebook to cooperate."

  "The pattern should be enlarged a little bit, so why insist on holding that point of equity."

  Xia Jingxing looked like he hated iron but not steel, and Jeremy was dumbfounded.

  If Xia Jingxing had not exposed the fox's tail, he might have been fooled.

   "Then, let's not mention it, and raise 7.5 million US dollars!"

  Jeremy reluctantly cut the meat. After saying this, he quickly gave his partner Russell an eye cue, causing the latter to swallow what he was about to say.

  Xia Jingxing guessed that it was almost the same, and he couldn’t force it too hard. He nodded and said, “Okay, sign the contract!”

  Jeremy said with a smile: “That’s OK, our angel investor-Max Levchin, the owner of the MRLVentures entrepreneurial incubator, is next door, and I have to talk to him.”

   "Okay, let's go together!"

  After finishing speaking, Xia Jingxing got up and went out of the office first.

   Seeing the office door suddenly opened, they lined up in a row outside, and the young people waiting for the opportunity hurriedly flashed people aside.

  Xia Jingxing also lifted his pants after leaving the house. In fact, he sorted out the shirt corners.

  Behind him, Jeremy and Russell were full of spring breeze, and they walked and laughed.

  Looking at this posture, has the PY transaction succeeded?

  Watching the crowd, some people cast envy eyes at Jeremy and Russell.

  Someone glanced at their watch, and it took half an hour to finish?

   Didn’t everyone say that Darren is a real man in Ten Minutes? Why is it so long this time?

  Xia Jingxing ignored the strange eyes of these young people next to him. Jeremy led the way and went to visit Max again.

  Max has blond hair and is about 30 years old. He was the CTO of PayPal.

  His name is very close to Musk, and both of them cashed out a lot of cash through PayPal.

  Musk took the money to engage in a small rocket, and this one founded a business incubator, doing angel investment part-time, and occasionally experimenting with entrepreneurship.

  Interestingly, Max also founded a social network company this year, called Slide (slide), to do slide social...

   Therefore, Xia Jingxing did not take Max as a competitor.

  On the contrary, Xia Jingxing also wants to encourage the other party to transform to develop third-party tools for Facebook.

  In previous lives, Slide Company did just that, and it is a well-known third-party developer of Facebook.

  For the arrival of Xia Jingxing, Max is very happy.

  Last year, when he celebrated his 29th birthday, Jeremy and Russell were “lied” to an angel investment of US$1 million because he was drinking too much.

  At that time, the two had only a small idea, not even a business plan, nor a team.

  After he woke up from alcohol the next day, he regretted it.

  Today, Yerp needs new investors to join in its development. Although Envision Capital needs a lot of shares, it has a lot of investment. At the same time, it is willing to promote Yerp's cooperation with Facebook.

  After a brief chat, Max readily agreed to the financing plan.

   Then, Xia Jingxing asked Ricky to sign an investment intent agreement with Yelp on behalf of Vision Capital, and planned to exchange US$7.5 million in investment for 27.3% equity in Yelp.

  (End of this chapter)