1. Alternative way to finance
Entrepreneurs

2. who is Melcion?
7 partners
3 in the US, 4 in Europe
over 150 clients:
there are entrepreneurs running 15M€ average revenues
in any industry
in multiple countries: France, Spain, Switzerland, Belgium, USA
(East and West coast), Singapore, HK, Philippine , mainland
China
any size from 0€ revenue to public 250M€ revenues

3. what are Melcion partners doing?
helping Entrepreneurs by anyways
meeting their client once a month
being available at any time
finding new ideas
having a different point of view
enabling the entrepreneur to take the helicopter view
we are payed on a yearly basis by a fee at the entrepreneur
convenience

4. what is an Entrepreneur?

5. startup financing
the VC myth:
business plan:
1year of work for free
50k of cost
personal expenses
raising capital:
VC sifting 1 deal out of a 100 projects received
if you visit 50 VC
that 50% chances
Executing:
1 deal out of 10
so that 5% compounded chances

6. Inc 500
a yearly selection of 500 US private fast growing companies
growth measured on a 3y period
first year with a 750k$ mini
inc.com
for 28 years now, that's about 15.000
the demographics
growth : 8000% on 3y
average funding: 75k$
VC funded : 2 to 4%
BA funded : 2%

7. reality check on VC
research from Pr O. Gottschalg and L. Phalippou
over 25y, private equity fund is 3 point under S&P performance
so it can't be 1 deal out of 10 succeding
it has to be 1 out 30 to 50
so chances for entrepreneurs raising equity with VC are <1%

8. startup financing
the VC myth reality:
business plan:
1year of work for free
50k of cost
personal expenses
raising capital:
VC sifting 1 deal out of a 100 projects received
if you visit 50 VC
that 50% chances
Executing:
1 deal out of 10 50
so that 5% 1% compounded chances

9. what solutions?

10. sales
targeting
hunt for the wounded elephant?
not everyone is your ideal first client
pricing
in marketing, price is defined as the highest your customer can
and will afford

11. business model
less consumption
faster access to client solution
deal with suppliers/distributors

12. when it is not enough?
Entrepreneur Commons
EC financing

13. what is EC?
need to serve all the Entrepreneurs
but we are only 7 partners
and there is up to 5M entrepreneurs in the US
Peer support is the answer
EC is a peer to peer support group organised by local chapter
of 10 people.
There is 17 chapters so far
they meet once a month
2 hours meeting:
each member is telling the others about one nice story of the
month and one today's problem

14. next step for EC
peer to peer financing:
during the 30s, emergence of mutual bank is an entrepreneur
initiative
but these initiatives turned into banks
now we have the opportunity to have a mix of mutual banks
with web 2.0

15. what is the idea?
mutual guarantee fund is first step
entrepreneurs are feeding the fund
entrepreneurs are deciding what project is eligible for
a guarantee
(need for a random selection due to a lack of resources)
then the selected project can have a bank loan with
that guarantee
banks can using it as a way to have an automatic process
a real lending fund is next

16. how can you help?
initiating new EC chapters
raising money for the mutual guarantee fund
http://www.indiegogo.com/Guarantee-Fund-for-Entrepreneur-
Commons-2