My Age of Investment

  Chapter 226 Video Website

   "Your request makes me very embarrassed?"

  In the office of Facebook, Andrew folds Erlang's legs, crosses his chest with his hands, and looks at Xia Jingxing with a serious face.

   "What's the problem? I just want you to help analyze and analyze, and see if doing so will violate the non-competition agreement."

  Xia Jingxing is not a professional law student. To be on the safe side, he decided to ask Andrew to provide some legal consulting services to check the security before working.

  Andrew slowly said, “In the last A round of financing, you, as the actual controller and founding shareholder of the target company, signed a two-year non-competition agreement with other key employees.

  In other words, for any reason, no longer actually control the target company, withdraw from investment or terminate the labor relationship with the target company...

  All of this will be restricted by the two-year non-competition agreement. "

  Andrew gave Xia Jingxing a glance, and said in a bad mood: "The last time Axel wanted to invest in Friends Youmi, it was done after obtaining the consent of Facebook.

  They also did this because of the non-compete agreement.

  Your negotiation is so strong that you have to restrict investment institutions abruptly.

  Now it's your turn, you also have to abide by this agreement, otherwise Axel will never let it go. "

  Xia Jingxing nodded, and said calmly: "Actually, I know all this, mainly about the content of the agreement, what can be done and what can’t be done."

   Andrew took a long breath, and compared to an index finger, he said lightly:

  “First of all, you cannot newly establish, acquire, manage, operate, wholly or partially own or control an enterprise that is engaged in business that competes with the target company.”

  Xia Jingxing nodded, “I understand, it just can’t compete with Facebook’s business, right?”

  Andrew lightly nodded his head, compared with the second finger: "Secondly, you cannot persuade any employee of the target company to terminate or terminate the labor relationship with the target company."

  Xia Jingxing shook his head, "If I really want to do it, I won't dig into the corner of Facebook, is that all right?"

  Andrew continued, “The core question right now is whether the video sharing website you mentioned and Facebook will form a competitive relationship?”

  Xia Jingxing frowned and said: “In the signed agreement, we and the investors in the Series A determined the scope of the non-competition industries.

The scope of    refers to social networking sites that contain text and pictures, and video sites are not included in this. "

   "Really?"

  Andrew was stunned. He didn’t remember exactly the specific content of the agreement, let alone the scope of the industry in the additional non-competition agreement.

  I glanced at it at the time, and now I have forgotten it.

  He asked Xia Jingxing: "Do you have an agreement? Show it to me quickly."

  Xia Jingxing opened the box for a while.

  After a while, he found the copy in the drawer.

  He handed the document to Andrew and said, “This is a photocopy. The original is in the bank safe.”

  Andrew nodded. This is a relatively important document, so naturally it must be kept properly.

   Holding the file, Andrew looked through it carefully.

  Xia Jingxing remained silent, waiting silently.

  Andrew watched very carefully, with his head buried, very focused.

  Half an hour later, he raised his head: "In two years, will Facebook have a video service?"

   "This is not good."

  Xia Jingxing shook his head, because he was not sure.

   "To be honest, I feel that if users take videos to upload and share videos on this video site as you said, this is actually a kind of life sharing.

   is more intuitive and specific than the current Facebook text and pictures!

  If this video site can grow bigger and be sought after and loved by young people, from a certain level, it will definitely form a competitive relationship with Facebook. "

  Andrew changed the conversation, "However, if you insist on building such a website, legal risks are not unavoidable.

  It’s just that you must be careful, this video site should not come up with anything related to "friends" and "social".

  At the same time, Facebook will not launch a video service within two years.

  In this way, the two companies did not compete during the two-year non-competition period and would not violate the agreement. "

   "If this website develops very well, would you say that Breyer would jump out and do things?"

  Xia Jingxing looked at Andrew and asked.

  Andrew spread his hands, “It’s hard to tell. You can’t be caught by him in the past two years, otherwise you will be passive.

  And once it spreads, your reputation in the venture capital industry will become very bad. "

  Xia Jingxing did not speak, but pondered in her heart.

  His situation is different from Jack Ma.

  Alipay was directly incubated by Ali Baba. At the beginning, it was in the Ali system and belonged to all shareholders.

After   , Alipay’s equity and control were forcibly transferred to a company privately controlled by Jack Ma.

  This incident has made shareholders such as SoftBank and Yahoo very dissatisfied and caused a lot of trouble.

  Finally, Jack Ma promised Alipay to pay Ari an annual technical license fee, and promised to allocate 33% of the equity to Ari on the eve of listing. This matter was settled.

  At the same time, Jack Ma also promised that his personal holding of Alipay’s equity will not exceed 8.8%, because at the time of the split, his holdings in Ari were so much.

  In such a statement, I mainly extract myself clearly, saying that I did this not purely for personal benefit, but for the benefit of Alipay and shareholders.

Xia Jingxing wanted to set up a video website.

  This website can be privately invested by him, and after it grows, it can be sold to Google.

  Or you can sell it to Facebook, so as to increase your shareholding ratio in Facebook, and at the same time make Facebook more powerful than in the previous life.

  Of course, there is a lot of traffic in Google Singer, which has boosted the development of video websites. It is an undeniable fact.

  While the video website is in the hands of Facebook, it is not certain whether it can have the influence of the past life.

   Facebook is actually not weak. With the help of a huge user base, it is very possible to develop a video website better.

  These are relatively long-term things.

  What he needs to consider right now is to set up a video website by himself?

  Or to incubate a sub-product in the Facebook system?

  He was established by himself, and he needed to invest a lot of money in the early stage, either by himself or by financing.

  Once financing, his shareholding ratio in video sites will inevitably drop, and it will be no different from Facebook's own incubation.

  He currently holds 63.18% of the shares in Facebook, which is not low.

  If his shareholding in the video site is lower than this percentage, and he sells it to Facebook, he will actually lose money.

  According to his understanding, YouTube has gone through three rounds of financing from its establishment to its sale, and each round only releases 10% of its equity, which is very restrained.

  However, the two founders of YouTube are only in their early forties, and employees hold nearly 30% of the shares.

  According to the development of the oil pipeline, it is actually better to incubate in the Facebook system.

  If the video website is incubated by Facebook, there is basically no need for financing in the early stage, and with the user base of Facebook close to 20 million, the video website can take off directly from the beginning of its establishment.

  The probability of success is definitely higher than setting up a video website outside the Facebook system.

   Facebook currently has people, venues, money, and everything.

  If you start to build a video website from scratch, it is equivalent to reinventing the wheel.

   "Darren, what are you thinking?"

  Andrew’s voice brought Xia Jingxing back to reality.

  　 Thank you Mu Yutang and Zhonge for your reward!

  (End of this chapter)