Salted Fish’s Self-help Strategy

Seeing Yuan Mu's expressionless face, Lei Siyun frowned: "I exchanged with my colleagues, the valuations of many large heads are falling, and only the first-line larges are now worth 100 million yuan. value."

"So people are not valuing themselves in a self-media way. You really don't understand new media, our company is short of talents!" Yuan Mu patted the report in his hands: "Your report I am I will not post it to the company. I think you are completely, completely, and have not fulfilled your duty of due diligence. You should report to the directors who are concerned about this matter."

Lei Siyun's eyebrows stood up immediately, "Hey, Xiaomu, why did I fail to fulfill my responsibilities? I know that you and Mr. Yuan are both optimistic about him, but you have to abide by the Basic Law? Valuation is not for your head. thing!"

"I didn't pat the head, but you are obviously wearing tinted glasses. You didn't see many things that should have been seen."

"Then may I ask, according to the financial data of Pakistani Entertainment, what kind of valuation can you use the DCF income method, the comparable company method, and the discounted cash flow method to derive? What are their growth expectations? Continue to grow?"

Lei Siyun was placed high hopes by several directors, and it was not temperless. "They are not a self-media company? You should not give them a PAU valuation based on the number of users of Internet startups, right? They don't have it. The traffic entrance is not for users. All of their followers are fans and platform users. It is unscientific to convert based on the number of users!"

"No, it's fine to calculate according to the market-sales rate." Yuan Mu wanted to roll his eyes. "Baren Entertainment has been established for five months, and the cash input has already reached tens of millions. Live rewards, official accounts, and sell cute. Artifacts, costumes, knowledge sharing, etc., aren’t it all written in your report? It’s normal if it’s calculated at ten times the market-sales rate, right?"

Yuan Lu only recently realized why Chu Yuanxi proposed a one-billion-dollar valuation and never let go. From the road to the simple, when a person thinks about too many complicated things, he often ignores the simplest one.

The simplest financial method in the valuation logic is the price-earnings ratio P/E and the price-to-sales ratio P/S, but these two are basically valuation methods that will be considered after the B round of financing. Because when using this calculation method, the valuation target is often a company that has developed, mature, or has begun to take shape.

For start-up companies, there is no profit and no sales. Especially in the Internet industry, they start to burn money. Therefore, the angel round and the A round basically do not use financial estimation to raise funds.

In angel round financing, most of the valuation and investment amount are determined by brainstorming. For example, when Pony Ma was doing Penguin, the investor was stunned when he heard it and asked: Your company is worth so much money ?

Pony Ma answered: I need so much money.

The A round of financing is slightly better than the angel round. You can see the initial results of the startups before making the next investment. This initial score is usually the number of users. For example, when you make an APP, the 10 million that the angel rounds have been burned out, the income is almost no, but there are 300,000 monthly actives.

According to Nasdaq's logic, in this case, a user assumes that the value is 15 dollars, and the estimated value of 300,000 monthly lives is 4.5 million dollars. At this time, the investors saw, oh, your angel round valuation is already 25 million, and there is no growth at 4.5 million dollars, so the company died in the A round and could not raise funds.

But if it has 500,000 monthly livelihoods, its valuation is 7.5 million dollars, and the growth is okay. The founder’s dilution of equity can also maintain the stability of the company, so it can cheat another round of money.

Only after the B round, the company has already generated revenue, can it be valued financially.

And Chu Yuanxi directly stepped through the previous steps. This is the charm of self-media. Calculated by the market-sales rate, Pakistani Entertainment's valuation should be one billion yuan.

Of course, there is charm in Yuan Mu's eyes, but in Lei Siyun's eyes it becomes scars. He was so angry that he was so angry that he sneered and said, "Those one-time income can also be counted as the market-sales rate? Forget it, I won't fight with you, I will do my thing." After that, he turned and left.

Yuan Mu looked amused at his domineering appearance, and what Lei Siyun thought was: I don't understand new media, you know? Are you a talent you accompany so much money? Humph--

He returned to his office to fetch the report, and came to Yuan Liu's room still, just in time to see Yuan Liu sending Yuan Jing and Yuan Rong out. Yuan Rong smiled, like a mouse who had just stole two taels of gas, Yuan Jing still had a stern face, making people confused.

Lei Siyun nodded to Yuan Jing, then went into Yuan Liu's office with his head high and said to Yuan Liu: "Sir, my investigation is over. This is the result of the investigation."

It has long been no secret that the brothers and sisters Yuan Jing and Yuan Mu wanted to vote for Pakistani entertainment. Of course, the director Yuan Liu knew about it. He himself was responsible for the company and asked Lei Siyun to find out the financial level of Pakistani Entertainment, and then it happened that Yuan Rong came up to ask for help.

At this time, in fact, he already knew some potential strengths of Pakistani Entertainment from Yuan Rong's side. Even the conditions, Yuan Jing thought about both parties, probably in the form of a proportional share of the sales gross profit, and 15% of the account was used as the authorization fee .

At first, Yuan Liu felt that 15% was a little too high, because this was not an OEM, and Pakistani Entertainment did not have a toy brand, which was equivalent to IP authorization~www.wuxiaspot.com~ But after Yuan Jingyi explained, Renjiaba People Entertainment don’t care if they are granted the rights. They still have to live broadcast the goods, and they have to Amway to tens of millions of fans. In this way, the ratio is not high, and the advertising costs are already a bit low.

At this time, Lei Siyun, which he had been optimistic about, finally came.

Yuan Liu let Lei Siyun into the office, and then took a look at the report. His face changed at that time, and he asked, "I have already shown it to Xiaomu? What did she say?"

"She said..." Lei Siyun faintly felt that Yuan Liu's tone today was a bit different from the past? Yuan Liu is the company director who appreciates him most. "She said that I had not fulfilled my due diligence responsibilities, and that I did not understand new media. Hey, Yuan Mu, did she have no points in her heart for how much she lost for playing IP? She was embarrassed to say that? Can't she lose money just because Chu Yuanxi asks her to lose her money, can she agree with her body?"

"However, you really did not fulfill your duty of due diligence!" Yuan Liu rolled the report into a roll, and struck Lei Siyun's head heartily: "Who said that the company does not have any practitioners in the clothing industry? Yang Yuanmei, her father, is her father. Mom is the owner and general manager of Meiwa Toys. How did the OEMs who sell cute artifacts and costumes come to you and didn’t think about it?"