This night, Xu Yiyang couldn't sleep.
Ma Huateng, who was far away in Shenzhen City, also didn't sleep all night.
Both of them were in an extremely excited mood and couldn't extricate themselves.
Xu Yiyang felt that as long as he flew to Guangcheng and signed this contract, he would be stable for the rest of his life, even for several lifetimes.
Ma Huateng felt that he had finally passed the critical point of death. If the cash of 4.8 million was brought in, it would immediately help Tengxun get out of trouble. Most importantly, it would also allow Tengxun to develop rapidly.
In short, everyone is happy!
Now, the investment in Tengxun is a certainty. Xu Yiyang believes that no one will intercept him at this time.
This major victory at this stage also gave Xu Yiyang a huge encouragement. It seems that investment is indeed a good way.
Therefore, he couldn't help but think of another domestic Internet giant, Alibaba.
Tengxun has invested in shares, can you think of a way to also participate in Alibaba
In Zhao Quanbin's words, he might as well support Boss Ma.
As soon as he thought about this, he immediately got up, carefully recalled some details of the early days of Ali, and drew a set of thinking maps on a blank exercise book with a pen.
Later, he recalled the book "Ali" by Duncan Clark that he had read, and wrote down all the important nodes he could think of on his thinking map.
In fact, Boss Ma is a man who is far-sighted and proactive.
As early as October 1998, he had already begun planning to found Ali.
At that time, he had even decided that the name of the company would be Alibaba.
In November and December 1998, Boss Ma registered two domain names respectively, the first was alibaba-online.com, and the second was alibabaonline.com.
Why did Boss Ma register these two domain names with online added
The reason is that the domain name alibaba.com has actually been registered by a Canadian early.
Boss Ma was reluctant and did not dare to spend thousands of dollars to buy this domain name. He had no choice but to register two domain names with online additions as the next best option.
In 1998, I figured out what the company should be called and registered the domain name in advance. It was not until September 1999 that the company was officially established.
In the meantime, the preparation time alone took more than a year.
So what is Boss Ma preparing for this year
In addition to the domain name, it is more about the development direction and team.
Boss Ma had already assembled Alibaba’s core team in February 1999.
At that time, Boss Ma was telling his team about the Internet, Silicon Valley, and e-commerce every day.
At the same time, Boss Ma has also started to launch his own website, but he still has not registered a company and has just started to test his skills.
In May 1999, he met Cai Chongxin, a high-end talent on Wall Street.
Who is Cai Chongxin
He was born in Taiwan, grew up in the United States, attended high school and college in the United States, and then worked on Wall Street. At that time, his annual salary was already hundreds of thousands of dollars.
Later, Boss Ma used his eloquence that could not pull up eight trains to recruit Cai Chongxin.
What Cai Chongxin is best at is Wall Street's capital route, so the first thing he did when he joined Alibaba was to register an offshore company and plan a US dollar financing route for Alibaba.
Domestic Internet companies have always had two currency units for financing.
Some companies announce financing, and in the financing disclosure, the amount is in RMB, but some companies use U.S. dollars.
Enterprises that finance RMB, such as Xu Yiyang's current investment in Tencent, which is registered in Shenzhen Stock Exchange, has not registered an offshore company, and is a standard domestic private enterprise. You can just invest in it directly with RMB.
The specific operation method is very simple. You transfer money to Tengxun yourself, and Tengxun changes the shares to yourself.
However, companies that raise US dollar capital have a different operating model.
They will first establish an offshore company in an offshore legal area such as the Cayman Islands, then register a branch domestically, and then use the main body of the offshore company to raise US dollar capital from multinational capital.
The raised U.S. dollars are placed in the main body of the offshore company and are not subject to domestic foreign exchange policy control.
For example, if a total of 10 million U.S. dollars is raised, if the development of the branch in China requires 1 million U.S. dollars, the 1 million U.S. dollars will be settled in foreign exchange and converted into RMB. The remaining 9 million U.S. dollars will still be placed in the offshore company. Wherever it is needed, .
When it becomes bigger in the future, the capital structure of offshore companies can also avoid taxes to a large extent.
Moreover, such a structure has another advantage: it is more convenient to expand overseas markets.
If it is an enterprise structured in RMB, the first difficulty in developing overseas is the shortage of US dollars. After all, the foreign exchange control policy is to be liberal in import and strict in export.
Moreover, it will be very difficult for RMB-structured companies to list overseas in the future.
Therefore, even if a company starts out with a RMB structure, but later expands and takes an overseas route, it will establish an offshore company at a certain period and introduce overseas capital.
Later BTAs and most Internet companies listed in the United States adopted this route.
Cai Chongxin registered an offshore company as soon as he came up, which also proves that from the very beginning, Alibaba was prepared to take the US dollar capital route and obtain investment from overseas capital.
And Cai Chongxin lived up to expectations. After Ali was officially established in September, he helped Ali secure US$5 million in financing from Goldman Sachs.
As for why Cai Chongxin was able to secure Goldman Sachs' investment, Xu Yiyang also heard about it.
When Cai Chongxin was working at Morgan Stanley in 1999, he accidentally met Lin Xiaru, a Chinese executive of Goldman Sachs Capital, on a plane from Taipei to New York and established a friendship.
Because of such a relationship, Cai Chongxin found Lin Xiaru about investment operations when he started his business in Alibaba.
In September 1999, Lin Xiaru went to Hangzhou to meet Boss Ma with the help of Cai Chongxin.
Later, she decided to invest US$5 million in Alibaba.
In return, she asked for 500,000 shares of Alibaba, which is 50% of the shares.
In other words, Alibaba’s valuation at this time is US$10 million.
The angel round offering 50% of the shares sounds exaggerated, and many people will scream that it is impossible, absolutely impossible.
But unfortunately, this is all true, and this is Boss Ma’s real operation.
Therefore, compared to the 40% sold by Tengxun Angel Wheel, Boss Ma is even better.
When things developed later, Lin Xiaru's company took the initiative to reduce its shares to 33% for better operations, and the remaining 17% was jointly invested by several other companies, but the valuation was still US$10 million.
Finally, in the fall of 1999, Goldman Sachs Lin Xiaru led several investment institutions to carve up 50% of Alibaba's shares for US$5 million.
It is precisely because of this that Xu Yiyang concluded that even if he went to Boss Ma with the same value of RMB and begged to invest in him, Boss Ma would not accept it.
Because RMB Capital has run counter to his corporate structure and development philosophy, and is completely different from the same path.
After the US$5 million arrived, in the first quarter of next year, Alibaba raised another US$20 million from Sun Zhengyi.
Moreover, Alibaba is not Boss Ma’s first entrepreneurial project.
He had already run two projects before, one of which was Yellow Pages. He can be said to be a veteran in the Chinese Internet industry.
Therefore, Boss Ma has a very high starting point in all aspects.
Even if Xu Yiyang has a net worth of more than 40 million, even if he is richer than him, it is still difficult to get ahold of him.
If you can't even touch it, let alone invest in him.
After analyzing so much, Xu Yiyang thought about giving up this unrealistic idea. Tengxun's 40% would be enough for him to win in more than ten years.
However, after he changed his thinking mode to consider this issue, he suddenly had a different kind of inspiration.
Boss Ma’s starting point is indeed very high, and he really cannot catch up.
However, if you can't catch up, can you lower his starting point
For example, if you want to buy a thousand-mile horse, but you don't have that much money, you can't afford it. You can only go home and save money, or settle for the next best thing and buy an ordinary horse or even a donkey.
However, if you look at it from another perspective, you can also think of ways to make these horses worthless!
If you can't afford a Chollima, you can still find a way to discount the legs of the Chollima.
If a thousand-mile horse's leg is broken, it may not be more expensive than a healthy mule.
If you could buy a thousand-mile horse with a broken leg for the price of a mule, and then repair its leg, wouldn't it still be a thousand-mile horse
Of course, the intensity of the discount must be well controlled.
The beating was gentle, and it got up and ran away again after a few bumps;
If the blow is severe, it may not be able to get up in this life.
Therefore, only when others lose confidence in it, and it itself is not unable to get up again, can you take advantage of it.
The hitting tool, hitting technique, and hitting strength are all important and need to be handled carefully. I don’t blame Xu Yiyang for being greedy, but this has always been the case in the business field. When Tengxun and Alibaba competed for hegemony, both wanted to flourish and beat the other to death in various fields. One of the two companies wanted to engage in social networking and the other desperately wanted to engage in e-commerce. Businessmen desperately want to play social, and they regard each other as mortal enemies and fight to the death. They have entered taxi-hailing, food delivery, film and television, videos, novels, cloud computing, browsers, and office software. No one is ready to let the other go. If anyone If you think that I will simply stop doing this field and let others do the work, I will never become a giant.
As a result, the strategic plan of a squatting boss took shape in Xu Yiyang's mind.
The first step in planning is to buy the domain name of Alibaba.
However, he did not buy this domain name to sell to Boss Ma, but to make him feel uncomfortable in the future.
Alibaba's domain name has always been in the hands of a Canadian, and Boss Ma has been reluctant to take it.
Xu Yiyang found the contact information left by the other party and sent an email to the other party, expressing his interest in purchasing the domain name Alibaba.
Due to the time difference, the other party happened to be in the daytime, so he quickly responded to the message and told him that the domain name was priced at US$10,000, and there was no counter-offer.
In two or three months, Boss Ma will grit his teeth and stomp his feet to buy this domain name.
So Xu Yiyang didn't think twice and directly asked the other party how to trade in RMB if he didn't have US dollars.
The other party gave him the contact information of an intermediary. This intermediary can accept remittances from mainland China's RMB account and then settle the payment to the seller in US dollars. However, the intermediary's requirement is that a 20% service fee must be added.
Ten thousand US dollars, which is about 82,800 yuan, plus a 20% service fee, will cost you 100,000 yuan.
However, Xu Yiyang didn't even think about it. He communicated directly with the intermediary through email. After confirming the transaction details, he planned to go directly to the bank to transfer money the next day and get the domain name Alibaba first.
Obtaining a domain name is only the first step in a long journey of thousands of miles.
How to discount the legs of a thousand-mile horse? It takes a lot of effort!
In fact, the real breakthrough point was not the domain name, but a key person, Lin Xiaru.
Readership: 1067686204, there are big seats, welcome on board!
(End of chapter)