Feng Yu’s investment company, Tai Hua Consultancy, is the first investment company to advertise in China.
Tai Hua Consultancy’s General Manager is Sun Lijie, a shareholder of Aiwa Electronics. He was the distributor who had helped Feng Yu acquire the Ningbo Bird development team.
The small investment made by Sun Lijie back then is worth more than a hundred times now. Of course, he is still running his trading company. His net worth had exceeded that Fatty Huang and is now the leader of the distributors.
When Feng Yu is setting up Tai Hua Consultancy and looking for a General Manager, he couldn’t think of anyone. He only remembers about Sun Lijie later on. Sun Lijie is running his own successful trading company well, and he oversees the finance department of Aiwa Electronics.
Also, Feng Yu noticed Sun Lijie is good at negotiation. He does not use underhand tricks and only uses facts about the company to get the other party to agree to his terms.
So, Feng Yu spoke to Sun Lijie, and he agreed to run this investment company for him. This is the trust Feng Yu had in him, and this investment company is not doing financial trading. It is investing in other companies.
Feng Yu did mention that it’s alright to take some risk. As long as you think there is a 10% chance of earning back the capital, it will be fine. With such a low requirement, Sun Lijie is not worried about anything.
However, he rejected Feng Yu’s offer of a high salary, and only requested for a 1% bonus. That means if this company does not make profits, he will not get a single cent. In a way, this is showing his determination to run the company well.
Of course, Sun Lijie was also given a list of names from Feng Yu. Feng Yu told him that if anyone of these people goes to him to ask for investments, he must invest at all costs. Even if the shares are non-voting shares, he must also invest in it.
Although Sun Lijie does not understand why Feng Yu said this, he knew Feng Yu must have his reasons. Feng Yu is a legend in investing, and Sun Lijie’s friends are still talking about this.
Sun Lijie can get to where he is now, is because of Feng Yu. His small trading company will also not grow to its current scale, and his assets might be only one-tenth of what he has now.
After the investment company is set up, they immediately start an aggressive advertising campaign. This is a first for a Venture Capital company.
No other Venture Capital companies will advertise like Feng Yu. Advertisements for this company are everywhere and cost more than 10 million RMB a month!
Ten million a month is equivalent to more than 100 million a year! But Feng Yu told Sun Lijie not to worry about the advertisement fees. The more startups that approach them for investments, the higher the returns will be! Years later, the returns might be more than ten times their investments!
Sun Lijie said to himself. Only the world’s top tycoons, like Feng Yu, will not mind spending 100 million RMB like this.
Many people might not even finish spending 100 million RMB in their lifetime!
But the advertising campaign is effective. The company received more than 100 inquiry calls every day, and dozens of entrepreneurs visited their office directly.
However, Sun Lijie is troubled by these people. Some of these people asking for investments are ridiculous.
……
“This project of mine is a futuristic product. After this medicine is produced, it can cure all sorts of cancer, and I will apply for a patent and will become the world’s wealthiest man!” A man, dressed up like a doctor, waved a small glass bottle in front of him. The bottle has a label, “Medicine” on it, and the liquid inside is black.
This ‘doctor’ had only graduated from junior school and did not even attend medical school. None of his family members had been a doctor or even a vet!
The head of the evaluation team just said one sentence, and he shut this ‘doctor’ up. “Since your medicine is so miraculous, why are you coughing non-stop? If your cough is gone after you drank your medicine now, we will continue to talk.”
Damn! Do you think I have never seen a cough mixture? Do you think everyone in the company is idiots?! Even if you want to con us, you should put up a more professional performance.
……
“I am researching the answer to the world’s toughest math question, and I need research funds and assistants. I am willing to share the results of my research with your company when I am successful!”
“Where are you working now? Feng Xian Third Boilers Factory and you are a security guard there?! Even if your brother-in-law is the deputy director at the factory, it is also useless. What is your highest education level, and who is your teacher? Do you have any recommendations from your teacher?”
“Junior High graduate? Fine. Bring all your research back with you. Our company will not invest in your project.”
How can someone who had never heard of Calculus solve the world’s hardest math question?! Who are you trying to fool?!
……
“This is an automatic missile launcher.”
“Wait! Our company is not qualified to invest in your project. If you think your project is good, please go to the military. Next!”
Do you all think our company will invest in everything?!
……
“This is a multi-functional chair and can turn 360 degrees. The backrest can be lowered to 180 degrees, and the height of the chair can be adjusted. It also comes with a vibrating massager and can relieve fatigue…” A middle-aged man is showing a set of design drawings in his hands.
“What is the difference between this chair and the other multi-functional chairs in the market? What is the selling point of your product?” The team had finally met someone serious.
That middle-aged man continued to introduce the selling points of his product. He emphasized that he owns the patent to this design, and the production cost can be lowered, etc.
The evaluation team discussed among themselves and said. “Mr. Liu. Your project fits our company’s investment criteria. Let’s talk about your terms.”
After Mr. Liu said his conditions and terms, the evaluation team exchanged views and voted. Three vs. two. They agreed to invest in this project.
“We will report to the company leaders and will get back to you in one week.”
Mr. Liu left, and the evaluation team members looked at their watches. It’s half an hour more before they end their day.
“This is the only project that is worth investing today. All those people before him are just trying their luck and trying to con us. We must train the receptionists not to let everyone enter.” Someone grumbled.
“Alright. At least we are better than Team Two. It’s been a week, and they do not even have an investment. During yesterday’s meeting, they were embarrassed to speak out. We have finalized three investments, worth a total of 12 million, and we are still following up on four cases.”
There is four evaluation team, and this team is not the best. But they are not considered the lousiest. It seems that the people in Team Two can only get their basic salary this month.
At this moment, a man entered the meeting room.
“Hi, my name is Wang Zhixi. I am the General Manager of Ba Da Li Fang Company.
