Boss Lu: A reborn life is destined to be without regrets!
Chapter 171 - 144. I’ll accompany you after my dad leaves.

Chapter 171: 144. I’ll accompany you after my dad leaves.

During the chat, Lu Jincheng’s peripheral vision kept sizing up the business card in his hand.

IDG Capital’s Shanghai office head, Zhou Yuanxin.

Next to it was a color photo, the man had profound features and a high nose bridge, clearly quite handsome in his youth.

But Mr. Lu didn’t know why, no matter how he looked at this business card, he felt it was somewhat familiar.

In the coffee shop, Mr. Lu and Zhou Yuanxin exchanged pleasantries and made small talk, never getting to the point, either making casual conversation or discussing plans.

It was so dull that Zhou Sinin was getting sleepy.

What are Dad and Jin Cheng doing?

Talk about shares, talk about amounts, talk serious business!

But she still didn’t understand one thing.

The angel round of investment sought by the Golden Stone coffee shop actually had a colloquial name in the industry.

— An off-the-cuff decision.

If one were to compare a business to a wheat stalk, then the seed round, representing the "seed" stage of the business, indicates it doesn’t have scale, a business model, products; everything is just budding.

The angel round, on the other hand, signifies that a business has started to take shape and is in the early stages of development. At this stage, investors are like angels bringing funds or resources, hence the name angel round.

The difference between the subsequent Series A, B, and C rounds mostly lies in the scale of investment, the company’s developmental form, and the purpose of financing.

"Mr. Lu, looking at you, it seems this isn’t your first time starting a business?" Zhou Yuanxin couldn’t help but ask out of curiosity after their conversation.

Shanghai is not lacking in outstanding young people, but few have the depth of speech and cognition like Jin Cheng.

It’s not too difficult for young people to understand the coffee market with a bit of dedicated research.

Being marketing-savvy is also a sign of keen senses and a quick mind.

But he also understands the internet and investment...

Zhou Yuanxin tossed topics about emerging industries and investment trends at him, and not only could he catch them all, but he also interjected now and then with his own opinions.

Facing a big shot like Zhou Yuanxin, he, as the junior, was neither impatient nor arrogant, open and comfortable throughout the conversation.

His discussions about industry trends were spot-on; his trend analyses were deeply insightful.

Incomprehensible, utterly incomprehensible.

Are young people nowadays so extraordinary?

"I also have a media company, doing some content creation, just a small venture."

Jin Cheng humbly stated.

"Indeed, heroes emerge from youth..."

Zhou Yuanxin nodded, fingers interlaced together, inwardly marveled by the old adage about new waves overcoming the old.

Before the meeting, Guan Yongyi and his daughter had spoken highly of him, leaving Zhou somewhat skeptical.

Was he charmed by a smooth-talking young boy?

It was not until he met Jin Cheng in person that he realized this young man was truly exceptional.

Zhou Yuanxin had met countless young people who became famous early and made big money through niche markets, most of whom carried a hint of arrogance.

How many can start from scratch and not get carried away when they earn their first pot of gold?

But he saw none of that hubris in Jin Cheng.

As if an income of over 200,000 a month was just a trivial matter in his eyes.

Great vision, capable methods, and boldness.

These were Zhou Yuanxin’s renewed impressions of him after their conversation.

After proving the solo store model, he decisively rejected most potential partners who lacked strength, forgoing rapid short-term expansion and the immediate benefits, determined to fully scale up.

Just the vision and boldness alone were extraordinary.

In fact, angel round investments are primarily investments in people.

The earlier the project, the more investors value the founding team.

The reason is simple: for most startups entering the angel round, business models and products are immature.

Therefore, if one simply applies valuation models, they often fail to capture the startup company’s value.

For angel investors, a company’s valuation depends on how much they believe the "future" is worth.

Abroad, people often use the DCF valuation method, but this is based on assumptions about future cash flows, which in the angel financing stage can be quite arbitrary.

For founders, the company’s valuation is often a result of calculating how much money they plan to raise in the angel round and how much equity they’re willing to give up.

This is why Lu Jincheng and Zhou Yuanxin didn’t talk about how much Golden Stone coffee shop is worth right away, but first engaged in casual conversation for half an hour.

After all, the valuation in an angel round is not a scientifically measured result but an "off-the-cuff decision."

Before making this decision, angel investors will consider the founder’s background, experience, and team from multiple angles.

Looking at the moment, Jin Cheng seemed quite exceptional in all these aspects.

Therefore, Zhou Yuanxin took the lead.

"Mr. Lu, IDG is quite optimistic about the coffee market sector. Could we talk about your future expansion plans?"

"I personally believe that the small store model still has a lot of room for scale development," Jin Cheng straightened up and said, finally getting to the main topic.

"Starbucks, Costa, and other well-known chain coffee brands not only have a mature franchise model and larger store sizes but also have a more distinct brand advantage."

"So my entry point is to stop emphasizing the elite style of the third place and, through substantial subsidies, turn coffee into an everyday commodity for ordinary people."

"Instead of opening large stores of 100-300 square meters, we will abandon the notion of the third place and target the incremental market within the coffee sector."