Web In Travel An Angel Ate At My Table: An Investment Session - PowerPoint PPT Presentation

1 / 28
About This Presentation
Title:

Web In Travel An Angel Ate At My Table: An Investment Session

Description:

Users are spending an average of 4.5 hours per session on the Neopets site ... Unlike other internet Cos, NeoPets management is very conscious of keeping cost ... – PowerPoint PPT presentation

Number of Views:96
Avg rating:3.0/5.0
Slides: 29
Provided by: Bil960
Category:

less

Transcript and Presenter's Notes

Title: Web In Travel An Angel Ate At My Table: An Investment Session


1
Web In Travel- An Angel Ate At My Table An
Investment Session
  • Bill Liu
  • Chairman
  • Stream Global Pte Ltd

2
What Does A Start-Up Company Need?
  • Expansion Capital
  • Continue To Innovate
  • Marketing Access To Markets (Overseas)
  • IT Systems Solutions
  • Build Management capability
  • Attract Talent
  • Compete Internationally
  • Build Brand

3
Funding Road - Map
  • Business Plan Competitions
  • Incubators
  • Angel Investors (also Friends Family)
  • First Stage Funding Venture Captial, Bank Loans
  • Govt. Support
  • Equity, Debt, Tax Incentives
  • Growth (Late) stage funding

4
Venture Capital 101
  • Seed Round Idea Stage No Prior Capital
  • First Round Series A Feasibility Stage,
    First Professional Capital Structure for RD
  • Second Round Series B Product Development
    Stage, Collaborations Customers, Clear
    Intellectual Property Strategy
  • Later Rounds Series C Beyond
    Commercialization/Expansion Stage
  • Exit MA or IPO

5
Funding to Milestones
Old-Fashioned Venture Capital
6
Venture Capital Investing in 1999
7
What Does A VC look For In A Company?
  • 3 Factors You Often Hear
  • - Management, Management, Management
  • 3 Factors That Are Important
  • - Very Large Market Opportunity
  • - Management Teams Ability To Adapt and
  • Scale Up the Business
  • - Increasing Barriers to Entry
  • Technology is a Necessary But Not a Sufficient
    Condition!
  • Clearly Defined Exit Strategy

8
Lessons Learnt By Many.
  • Business involving change of paradigm is very
    difficult
  • Early adoption is slow
  • Cross Boarder Business is tough
  • Dont under estimate the regulatory
    barriers/approvals
  • Need stringent mentality
  • Go for low frills and low costs set-up until cash
    flow positive!
  • Not to be dependent on only 1 major revenue
    stream
  • Need a plan B, C
  • Discount heavily any initial forecasts by the
    company

9
(No Transcript)
10
THE WORLD OF NEOPIA
VIRTUAL WORLD
11
THE WORLD OF NEOPIA
ADVERTISEMENTS
12
Neopet Companys Progress
  • Rate of growth was 1.6 million accounts per month
    worldwide
  • Users are spending an average of 4.5 hours per
    session on the Neopets site
  • Nielsen NetRating has consistently rate them
    among the top ten most visited site from
    Singapore with average of 200K unique Singapore
    users.
  • The management team is made up of executives who
    are experienced in entertainment and market
    research business
  • Unlike other internet Cos, NeoPets management is
    very conscious of keeping cost low and matching
    cost to revenue
  • Very popular amongst Generation Y of both sexes

13
So How/What?
  • Is this a great time to be pulling levers and
    starting new companies?
  • Liquidity isnt predictable, but
  • Choices about business models, geography and
    industry sectors are critical levers and
    controllable
  • The food will be back !
  • .Have you the passion?

14
Thank You For Your Attention
  • Happy Hunting!

15
Incubators lowering initial costs
  • Provide workspace and shared administrative
    resources
  • Help with fund-raising and marketing
  • General mentoring and guidance
  • About 100 incubators in Singapore
  • Singapores Hotspots
  • The Enterprise _at_ Jurong East
  • iAxil _at_ Singapore Science Park
  • iHub _at_ Jurong East
  • Nanyang Technological University
  • National University of Singapore
  • Phase Z.Ro _at_ one-north
  • Soho _at_ Central
  • Technopreneur Center _at_ Ayer Rajah
  • Technopreneur Center _at_ Bukit Merah
  • Technopark _at_ Chai Chee
  • Suntec City
  • "HOT" stands for
  • "Hub of Technopreneurs

16
Private Investors
  • Angel Investors
  • Venture Capital

17
Where to find them?
  • DEALS
  • An online directory to match up investors with
    startups
  • Classified by 14 Industries
  • https//venus.edb.gov.sg/deals/process/OnlineDirVi
    ew
  • BANSEA Business Angels Network of South East
    Asia
  • One time membership Fee 200
  • Membership Benefits
  • Information on deal flows overseas contacts
  • Discounts for public events requiring
    registration fees, and
  • ACE - Action Community for Entrepreneurship
  • Events like BlueSky
  • SVCA Singapore Venture Capital and Private
    Equity Association

18
Government Schemes for Start Ups In Singapore
  • for
  • Tax exemptions

19
SPRING
  • Standards, Productivity and Innovation Board,
    Singapore
  • Focus is to champion enterprise formation and
    growth
  • Funding resources
  • Network of valued relationships
  • Works with partners to
  • Help enhance the productivity and innovation and
    capabilities of enterprises
  • Increase access to markets and business
    opportunities

20
SEEDS
  • Startup Enterprise Development Scheme
  • for match for funds raised with a third party
    investor
  • Minimum of S75,000 from third party/parties
  • Maximum funding of 300,000
  • An SPRING scheme
  • 25 SEED Cos Have Foreign Founders
  • More than 150 Companies Have SEED Funding
  • 50 of SEED Enterprises Have Launched
    Products/Services
  • 80 of SEED Enterprises Developing Patents/IPR

21
ICS
  • Innovation Commercialisation Scheme
  • Encourage development and commercialisation of
    innovative ideas
  • EDB reimburses up to half of the qualifying costs
    of supported projects
  • Up to a maximum of 75,000

22
IDS
  • Innovation Development Scheme
  • EDB Grant provides co-funding to support
    innovation in products, processes and
    applications.
  • Eligible project costs include expenditure on
    manpower, equipment, intellectual property and
    professional services.
  • Open to companies registered in Singapore.
  • Project must lead to the build-up of innovation
    capabilities.
  • Co-funds costs related to innovation and RD

23
Tax Exemption
  • All startup automatically qualify for this.
  • Start-ups in operation for less than 3 years can
    benefit from the tax exemption scheme.
  • 100 tax exemption on the first S100,000 of
    profits for up to 3 years.
  • The program's objective is to encourage
    entrepreneurial efforts by relieving the tax
    burden of young start-ups.

24
IE Singapore
  • Double Deduction for Overseas Investment
  • Deduction of taxable income (two times foreign
    investment)
  • Malaysia Singapore Third Country Business
    Development Fund (MSBF)
  • Local Enterprise and Association Development
    Programme (LEAD)
  • Supports SMEs developing new industries
  • Trade Credit Insurance (TCI)
  • Protects against the non-payment risk of buyers
  • Pathfinder program
  • Help nascent Singapore-based exporters increase
    overseas sales
  • LIS II Loan Insurance Scheme

25
Government Schemes forGrowth Stage Financing
  • LEFS
  • LETAS
  • LIS
  • GFP
  • RFS

26
LEFS
  • Local Enterprise Finance Scheme
  • Fixed rate financing (6.25-6.75) to
  • Upgrade, strengthen and expand operations
  • SPRING administered loans upto 15M for
  • Buying new machinery
  • Upgrading existing equipment
  • General working capital

27
GFP
  • Growth Financing Program
  • Support early stage Singapore based companies
    with the potential for global growth.
  • The Program
  • 2 (3rd party) to 1 (EDB) matching of fund
    raised
  • Maximum 1M
  • Third party investor must put 500K

28
RFS
  • Regionalisation Financing Scheme
  • Help Singapore companies setup operations
    overseas
  • The Scheme (IE Singapore)
  • Fixed-cost financing program
  • Loan upto 10M for acquiring fixed assets
  • Purchase of machinery and equipment
  • Construction of Factories or buildings
Write a Comment
User Comments (0)
About PowerShow.com