The valuation of less than one billion to shame you think the unicorn is dropped from the skyDon’t


‘s outlandish ideas are not universal, but many VCs and industry watchers are indifferent to the nine digit exit.

trends and trends are there, but there are some key points in which entrepreneurs can be more wary and calculating.

the age of Unicorns distorts the concept of entrepreneurial success. The hype over the $one billion exit story has led to the current status of digital success. Simply starting the venture, it’s pretty good to start an enterprise and sell it for $100 million. But in today’s entrepreneurial environment, such results are not everyone’s approval.

. Entrepreneurs often go to China for months, or even years, in order to work out production links. Relatively, hardware entrepreneurs often have more work experience than software entrepreneurs because production is a very complex process in itself.

In the process of turning from prototype manufacturing to mass production, many Hard Suits Inc failed in the process of

4. B2C competition B2B: it is better to choose the latter

Hard Suits Inc usually have economies of scale, but hardware products do not have network effects. This means that as long as you find the market, you will face competition from low cost producers. The best startups will compensate for the lack of hardware with software and services that have network or platform effects. Use hardware to carve out revenue and create profits with software and services.

The successful case of

2. defensive: what do you stand against low-cost competition,

hunting cloud network micro signal: ilieyun reported on June 22nd Translation: heap

in the rapid development of social environment, such a situation is normal. Political journalists want to report the president and the Supreme Court, not the state. Similarly, tech journalists want to report businesses with valuations of $one billion. An investor with $one billion in assets would like to invest $50 million in a successful business, and a $100 million exit would be considered a consolation prize, not worth cheering about. On this basis, a $more than 100 million capital withdrawal would be like an outsize takeover.

many successful investors have created some excellent start-ups, but in today’s distorted standards of success, this is only a "moderate" performance. Over the past ten years, Y Combinator’s Paul Graham has become one of the most influential VCs, while its start-up Viaweb was only $49 million at that time. According to any reasonable standard, Viaweb can be regarded as a successful enterprise, but in the current exaggerated propaganda and a large number of financing activities against the background, this is not sure. The company raised only $2 million 500 thousand before it was sold – so the $49 million offer was a very lucrative return, which bodes well for the future of Paul Graham. Facts have proved that small withdrawal can also bring great profits.

development test repeat model is popular among software companies, but not for Hard Suits Inc. Reasonable planning is necessary because some mistakes are beyond repair. For example, your design may not meet the environmental requirements, but you won’t find it until a few years later when you are ready to push your product into the market.

tiger sniffing has been concerned about the emerging new hardware campaign. For example, the "hacker should enter the beautiful new hardware", as well as on the China record this "Taobao + +Kickstarter + Huaqiang North Pearl River Delta passenger survival status report more specific, creating" the rise of

consumer hardware is often more interesting, but B2B hardware has many advantages. For the first time, you will have fewer competitors, because there are few entrepreneurs who have hardware and are familiar with business. Second, you will have fewer international competitors, because B2B hardware usually requires a localized sales and service team, which makes it difficult for foreign competitors to copy your model. Finally, the production process can be done locally, because higher prices mean you don’t have to worry too much about labor costs.

3. plan: small step run, upgrade software development model is not suitable for hardware business

if you want to start a Hard Suits Inc, here are some things you need to remember in mind:



the following content is translated by Tencent science and technology:

1. production: production is a complex process, entrepreneurs have to live on the edge of the factory,

< > $100 million contempt

in order to understand the reality of this distortion, we have studied some of the special successful founders of the past few decades – those who later became venture capitalists. We used horizontal analysis to study the top VC firms and found 63 investors who had been in an entrepreneurial setting. 11 of the companies in the group have been successfully listed or sold at more than $1 billion.

note: This is not a full list. In addition, it is difficult to obtain accurate values for the investment exit in the Internet age, but you can query the relevant citations. Given that some data is not disclosed, we assume that the purchase price is below the substantial threshold of the buyer.


, the famous American investor Chris Dixon recently wrote an article on his blog, mentioned four points, worthy of hardware entrepreneurs, especially from the field of software moved from the entrepreneurs reference.

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