In Tribute to Perseverance: 20 Heartwarming Stories from Healthcare Investors in 2018 | VB Insights New Year Special

@Founder of a platform-based enterprise that has just completed its Pre-A round

#About ideals, I have never chosen to give up#

At our most difficult juncture, the company’s cash reserves were sufficient to cover only two months of operations. We laid our cards on the table with employees: those who chose to leave would receive one month’s salary, with company computers accepted as offset against severance; those who stayed would be paid a subsistence-level wage, with any unpaid balance treated as a loan to the company.

Two of the seven members left the development team, and the remaining members said:

“I’m single and earn 3,000 yuan a month.”

“My family is not short of money.”

“I’ll take a two-month leave of absence without pay. If things don’t work out after two months, I’ll look for another employer. Feel free to reach out to me anytime during this period if you need me to come back.”

…

Two months later, the company successfully secured its Pre-A funding round. Four or five of our 20 employees left, but we persevered through the hardship. 2018 actually turned out to be a good year and a turning point for us. We are grateful to those partners who trusted us and stood by us during that time.

New office coming soon~

@A serial entrepreneur committed to ensuring a high-quality life for the elderly

#Customers Are the Gods I Love and Hate#

In September, I was under intense pressure from a listed health group, as this product was part of their strategic layout. The client’s person in charge followed up three times a day and eventually resorted to verbal abuse.

There isn’t a single member of our technical development team who doesn’t despise him. Although the customer is always right, his colleagues all wish he would fall face-first from the sky.

Following acceptance, everyone grew to adore him, as he gave us the highest ratings and made payments with remarkable promptness.

It enabled us to pay salaries and support our families during the harsh winter years.

Pretty amusing, right? I think so too. It seems that the moment I was asked, my instinct was to keep things lighthearted. I didn’t want to dwell on the anxiety of waiting for responses while financing fell through. In particular, the publicly listed company that had ultimately reached an investment intent agreement with us later formally withdrew its offer, citing a sharp decline in its stock price. At that moment, it truly felt as though a stone stuck in my throat had dropped heavily onto my chest.

In 2018, we achieved break-even. After more than six months of research and development, our first batch of products was fully deployed in hospitals on a prepaid basis. Although the journey was challenging, we are deeply grateful.

@Founder of a Biotech Innovative Drug Platform That Secured Funding at the Last Minute

#Starting a business is a marathon#

In early 2018, I decided to start a business. Everything—from building the team and securing funding to defining the business model—began amidst uncertainty. Entrepreneurship can sometimes be painful and counterintuitive; the anxiety stemming from complex and uncontrollable factors is imaginable. There were many times when I felt my inner resilience was on the verge of collapse.

I began to hone myself with twice-weekly marathon training. The sustained, steady-paced running made me composed, even cold-blooded. On October 8, as I steadily crossed the finish line of the Chicago Marathon in Grant Park, I quietly glanced at the numbers on the clock overhead: 3:12:30.

I knew that my Boston Marathon qualifying goal was well within my grasp. I am obsessed with that sense of control—much like when we closed our Pre-A financing round in the final month of 2018, and I knew that the path ahead in 2019 would be smoother than that of 2018.

@A Certain Adorable Angel Investor

#2018 was truly a year of deep reflection, giving me a renewed understanding of my profession#

My role involves providing post-investment services for projects. Due to the nature of my work, I have acquired extensive knowledge in the field of immunotherapy. During this period, I witnessed the market launch of Keytruda in China, a development that personally impacted my father, who underwent treatment with the drug.

I have spent most of this year working alongside scientists. Our investment portfolio has achieved numerous breakthroughs in the field of early screening, giving me hope that more patients like my father will benefit.

What moves me most is that many people around me have gradually learned how to view cancer risk under my influence. A close friend’s father, persuaded by me to undergo early screening, was diagnosed with early-stage small cell lung cancer and successfully underwent minimally invasive surgery. This friend has also gotten through the most anxious period and even got married at the end of the year. :P

@A pioneering gene sequencing scientist who left to start a business

I have upheld the humanistic values I believe in for 32 years. Each day of 2018 has only strengthened my resolve to dedicate my life to this cause!

@Xiao Meng's Dad

Xiao Meng, who had been with me for four or five years, traveled excessively on business this year. Due to inadequate care from others, it first developed depression and later suffered a sudden cardiac arrest. This is the last photo taken before its passing.

@Hoping pharmacy owners become carefree little elves

#Only by being accountable for results can one be truly responsible#

2018 was a year of rapid development for Yaojingling, as well as a year that saw an accelerated pace of national unannounced inspections.

One incident during our development continues to leave a deep impression on me. One evening, past 8 p.m., I received a call from a pharmacy owner in his fifties. He had been notified by the Drug Administration that an inspection would be conducted at his store the next day. The pharmaceutical products he had purchased were already shelved but had not yet been entered into the computer system. Failure to record them would result in discrepancies between inventory records and physical stock. Extremely anxious, he mentioned that he had learned from other pharmacies that our “one-click inbound” feature could replace manual data entry, and he requested our technical assistance to complete the inbound processing. I immediately assigned the on-duty engineer to address the issue. Within just over ten minutes, we successfully integrated his system with the upstream pharmaceutical supply chain platform, thereby resolving the challenge of rapid inbound inventory registration.

The next day, when the pharmacy successfully passed the unannounced inspection by the National Medical Products Administration, he made a special call to express his gratitude. This experience deepened my understanding that only high-quality products can deliver true value. Developing products that create genuine value for users is what truly matters.

@Zhuang Bin, a heavyweight player in the microfluidics industry

#As long as you cherish life, everything is within expectations#

In 2018, we received numerous national-level recognitions. Breakthroughs in manufacturing are more challenging than any business model. During the 2018 Spring Festival, I spent only New Year’s Eve and the first day of the lunar new year with my family, returning to the company to work overtime starting from the second day. Since founding the company in 2007, I sold all three of my residential properties in Shenzhen during the early stages of the startup to raise R&D funding.

Currently, Chuanghuai is valued at over 400 million yuan and continues to appreciate rapidly. As the Chairman, I do not receive the highest salary in the company, and I still own no property, currently residing in government-subsidized talent housing provided by the Pingshan District Government.

There is a running joke among my colleagues. As a leading talent and high-level overseas professional in Shenzhen, I am encouraged by the Shenzhen Municipal Government and Pingshan District to start a business. Although I would be eligible for special talent rewards and subsidies, there is a prerequisite: the recipient must purchase commercial residential property in Shenzhen. Having been an entrepreneur for many years, I have devoted all my personal funds to my company, leaving me unable to afford such a purchase. Whenever this topic comes up, my colleagues treat it as a joke, and I just laugh it off.

@3D Printing Pioneer Xi Yangyang

#Don’t forget why you started just because you’ve come so far#

In the seven years since founding the company, the first four were dedicated to basic research, and the most recent three to translational research. To secure clinical registration for our product this year, the team has been working overtime for nearly six months to overcome a specific technical challenge.

One evening, as we were running computations, the massive computational load forced us to endure long hours. Doubts about our earlier design began to surface, and growing impatience set in. The prolonged, monotonous work left the entire team feeling downcast, and the server room was thick with a stifling atmosphere. Suddenly, someone shouted, “It’s done! It’s done! The results are out!” Everyone rushed to the computers. When we finally confirmed the success, even our typically reserved R&D Director began exclaiming loudly, “Yeah! Yeah! Yeah!”

I said, “You have uncovered a monumental secret. Through your design, you have made metallic materials softer than bone.”

In the past, colleagues would often complain, “Everyone else does it this way. We’ve already done well enough—why do we need to keep calculating?”

In fact, the answer is simple: as we are engaged in the healthcare industry, we must hold life in reverence.

In 2019, we will not only exist boldly but also become stronger.

@Wu Lei of the Internet Healthcare Industry

#I was still too young and too eager for results#

In the winter of 2018, as a company that had been exploring the internet hospital sector for nearly three years, we underwent repeated layoffs, continuously downsized our office space, controlled all expenditures, and compressed costs to achieve self-sustaining profitability and ensure survival, due to misjudgments in financial planning and unforeseen changes in financing. This marked a year in which the company returned to the essence of business operations; the bubbles of all business models and narratives evaporated and flowed away. This was both forced by the most challenging economic conditions and represented the optimal cycle for the restoration of true corporate value.

This year, we have experienced tears, uncertainty, and downturns. It has taught us that running a business is not easy, and building an excellent one is even more challenging, requiring time, patience, accumulation, and perseverance. As an internet healthcare company, we should carefully examine ourselves, the complexity and unique structure of our industry. Healthcare and pharmaceuticals are endowed with grand visions in China’s healthcare reform. As innovators in this industry, we should collaboratively think about how to supplement and improve various aspects. We should not blindly amplify corporate ambitions and expansion timelines due to the prevailing information and public opinion trends in the investment market. Instead, we need to slow down, stabilize, and reflect more.

@Steady-and-Sure Hongdao Clinic

#1:1, 2018 Was Essentially a Draw#

The last working day of 2018 was no different from other working days of the year. One thing succeeded, and another failed.

In 2018, particularly in the second half of the year, “winter” became a “hot” buzzword. Overnight, every event, every adverse outcome, and every failure or misstep could be attributed to the notion that “winter has arrived.” I personally do not fully subscribe to this view. While I acknowledge that 2018 was indeed somewhat chilly, with both capital markets and the real economy operating under tight constraints, many entities failed to withstand the pressure.

While this is certainly related to the broader macroeconomic environment, an undeniable fact remains: there are too few projects with commercial value in the capital markets, while the real economy, which should be creating value, lacks steadfastness and is plagued by excessive impetuousness. The upcoming year of 2019 is expected to bring even colder conditions for many. Only those enterprises that diligently strengthen their core competencies and strive to excel in their own domains will survive the winter and thrive in the spring.

Over the past year, Hongdao has adhered to a pragmatic approach, advancing step by step. Although the pace was somewhat slow, the progress remained steady.

@Dedicated to Nursing, Striving for Excellence in Care

# When Does the Entrepreneurial Journey Become Especially Exhausting?"We've been through all the exhausting times, hahaha"

2018 marked the beginning of LeYu Nursing’s second decade. While other companies were expanding their presence in Southwest China, we felt significant pressure. However, even greater pressure stemmed from hospital bidding processes and market expansion efforts. In a sector with relatively limited capital inflow, where most players were still in the phase of rapidly securing market share, competition was intense.

This year, we have focused on strengthening our internal capabilities and refining our services, reducing the time spent on external business development. As a result, we finally have more time to spend with our families. With our enhanced internal strength, we find our path forward becoming increasingly clear.

“We are certainly short on funds, but we haven’t grown overly anxious; instead, we’re striving to slow down in order to stay true to our original aspirations.”

@The Busy Dad Who Returned from Stanford to Salvage the Spiritual World of His Compatriots

“Private time? It doesn’t exist. I truly owe my wife and children too much.”

This year, I have neither cried nor felt fear. I am deeply grateful for the entrepreneurial journey, which has allowed me to authentically be myself every day.

@Early-Stage Entrepreneurs in Their Forties

The most frequently heard phrase in 2018: “Your project is too early-stage.”

@Founder of Yanzhi Baobiao FA

#Hard work is not to be feared; what is truly feared is the loss of self#

After starting a business as a financial advisor, I was on business trips for 180 out of 365 days.

A suitcase accompanied me on a business trip for half a month. In the final two days, I pushed my body to its limits, flying to four cities including Hangzhou, Chengdu, and Shenzhen. Finally, as I prepared to fly home from Shenzhen Airport, I walked through the terminal after passing security when suddenly I felt disoriented, unsure of where I was.

Stunned in place for ten minutes, I began to be filled with self-doubt. What is the meaning of all this persistence and what you are doing now? I don’t know what I am doing. I dare not let myself think any further, fearing that my long-held perseverance will collapse in the next second. I must keep my thoughts from sinking into despair so that I can continue to hold on.

This year, I fell in love with scuba diving and boxing. A while ago, when discussing boxing with a friend, they asked me, “Do you box to prove that you truly exist?” That question struck a chord instantly. The pain of punches landing on my body and the sound of only my own breathing while diving—the visceral sensations brought by both boxing and diving make me feel that I am genuinely present in this world.

The biggest change in 2018 was that everyone said I looked older and haggard. A couple of days ago, when I went for a haircut, the barber asked if I wanted to dye my hair. But I’m not even thirty yet!!! Ugh!

@VCBeat AI Investors

The fund was oversubscribed, intensifying the pressure to identify high-quality projects. I’ve been working around the clock—essentially on a 9-9-7 schedule this past year. By the time I got home to write emails and reports, it was already midnight. After squeezing in some personal time, I’d go to bed at 2 a.m. Never once did I consider feeling exhausted or giving up, because of my passion ❤️

@Do you know what a pulse wave is?

It feels like every day follows the same rhythm, filled with the same mix of emotions, the same busyness, and the same ups and downs, much like a kite. I truly cannot recall a single day that stood out as special.

@Interesting

In 2018, I met different investors in Shanghai, Beijing, and Shenzhen who all said “not interested” with the same expression.

@Xiao Shuai, Internet Hospital Practitioner

#2018 was all about sheer grit; we didn’t even secure angel funding. T T#

From 2015 to the present, the company has undertaken government public health projects and developed products such as disease-assisted diagnostic tools. However, none of these products were commercialized after R&D, and they were eventually abandoned. In response to market demand, we began developing physician-facing and patient-facing mobile applications and are now operating an internet hospital. Without external financing in the early stages, we relied primarily on cash flow, with total expenditures to date estimated at RMB 6–7 million, mainly allocated to personnel costs and R&D expenses, while no marketing efforts were undertaken. Following the launch of our internet hospital platform, significant additional funding will be required for promotional activities.

This year, there has been virtually no revenue. Essentially, since last year, we have not generated enough profit to pay salaries. This year marks the longest period of wage arrears, with payments delayed by three months. As the delays have persisted, employees have grown increasingly apprehensive, and prolonged uncertainty has eroded their confidence.

The internet hospital product was just launched a few days ago. The most significant shift this year seems to be the validation of its business model, which has extended from auxiliary diagnosis to physician-facing services, thereby creating a closed loop. This may be our last stand; if there is no further progress, the company could face dissolution. We hope this project will succeed in 2019. Everyone has burned their bridges and gone all in; if this initiative fails, we will essentially have no options left, nor will our boss.