"From the moment capital came into existence, it has been steeped in corruption and bloodshed"
This well-known quote encapsulates the harsh reality of business. The early days of the domestic internet industry were marked by fierce competition, and a brutal landscape of takeovers and mergers, where the strong devoured the weak.
The few giants that emerged from this chaos were forged in a cutthroat environment, their instincts honed to consume everything in their path.
This is what they call the rules of business.
However, the domestic political framework mandates that such unchecked and ruthless expansion must be restrained. The rise of monopolistic giants stifles innovation, making it increasingly difficult for small and medium-sized enterprises to thrive.
When faced with their international counterparts, these domestic giants often appear vulnerable.
This reality eventually sparked concern and introspection among the upper echelons of society. After much deliberation, in September 2005, the Business Creative Copyright Protection Act was officially enacted as a supplementary regulation to existing patent and copyright laws.
This law specifically targets new industries primarily based on the internet, safeguarding unique business models from being copied or exploited by others. Its aim is to foster industrial growth, create a competitive market environment, and prevent a downward spiral of stagnation.
Under this law, only enterprises can apply for business creative copyrights. Once approved, a creative copyright protection certificate is issued, valid for 12 months.
In essence, you have one year to develop your idea. After that, you must contend with the harsh realities of the market. If you fail to establish a strong position during this protection period, you have no one to blame but yourself.
Following the implementation of the Business Creative Copyright Protection Act, the Creative Protection Office was established, a collaboration between the Ministry of Commerce, the Ministry of Information Technology, and the General Administration of Copyright.
The Creative Protection Office oversees the approval, monitoring, and arbitration of business creative copyrights. While the department may be small, its influence is substantial.
The introduction of this law and the establishment of the Creative Protection Office have significantly benefited small and medium-sized internet enterprises, providing them with the breathing room they need to survive and grow.
Currently, three of the seven major domestic internet giants owe their success to the protections afforded by this law, and many small and medium-sized creative enterprises have also reaped substantial rewards. It encourages innovation and boldness in creativity!
Interestingly, the success of the Business Creative Copyright Protection Act has inspired similar initiatives in European and American countries grappling with the same challenges.
A month ago, Lu Chen had Lu Xi submit a creative copyright protection application for the crowdfunding model under the name of Lu Chen Workshop to the Creative Protection Office, but he had yet to receive any updates.
Applying for copyright protection is no simple task. Unlike the supercomputer-controlled "Great China Music Library," the Creative Protection Office relies on a cumbersome manual review process, which naturally prolongs the timeline.
Moreover, due to various ambiguous factors, even a unique creative model may not guarantee final approval.
In the industry, this protection certificate is humorously referred to as the "Golden Birth Certificate."
It is said that once a company secures this certificate, it instantly attracts the attention of venture capitalists!
Lu Chen isn't looking to make a huge splash in the internet industry, but he doesn't want to squander this brilliant idea either. So, he asked Li Mubai to check on the status of the application, at least to see if there's any hope for approval.
If there's no chance, he'll just launch the crowdfunding website and get started without further delay.
After reviewing Lu Chen's creative proposal, Li Murong paused thoughtfully and asked, "Does your project involve private fundraising?"
Private fundraising is a treacherous area, and the penalties for illegal fundraising are severe. The crowdfunding model does share some similarities.
Lu Chen replied confidently, "From a business and capital flow perspective, crowdfunding is essentially a form of group buying, fundamentally different from illegal fundraising!"
"All crowdfunding projects cannot offer equity or financial returns, and project initiators cannot promise any financial gains to supporters. Returns must be in the form of tangible goods, services, or media content."
"Supporting a project is a purchasing decision, not an investment!"
His face radiated confidence as he elaborated, "For instance, if I want to release an album, I can initiate a crowdfunding campaign on the platform, rallying fans to subscribe. As long as the funds needed for production and distribution are met, the campaign is deemed successful."
"This model can be applied to various levels, such as developing new products. Releasing an album can be crowdfunding, publishing a book can be crowdfunding, making a movie can be crowdfunding, and even charitable initiatives can be funded through crowdfunding!"
For this project, Lu Chen had drawn upon all the knowledge he had gained from his dream world, and many details were firmly etched in his mind, allowing him to address Li Murong's concerns flawlessly.
This level of assuredness gave Lu Chen a charisma that belied his age.
Su Daiwan, sitting next to Li Murong, watched with bright eyes.
She seemed to have an idea, nodding slightly with a smile.
Clap! Clap!
As soon as Lu Chen finished speaking, Li Murong clapped his hands.
The eldest son of the Li family praised, "Brilliant! This is the most innovative model I've heard in years."
He turned to Li Mubai and said, "Mubai, among all your friends, Lu Chen is the one truly worth knowing. It was worth my time to come here tonight."
Li Mubai scratched his head and chuckled, looking a bit sheepish.
Lu Chen smiled and said, "Brother Li, you're too kind. It's just a small idea."
Li Murong shook his head, "Even if it's a small idea, it holds significant value. The core profit of your crowdfunding platform lies in project commissions, right? The biggest challenge will be ensuring project success and preventing initiators from absconding with the funds. You'll need a rigorous project review process, and you can't do it alone."
The crowdfunding model involves three parties: the project initiator, supporters, and the platform. If a crowdfunding campaign fails, it's straightforward; just refund the supporters. However, if a project fails during execution, supporters receive no compensation.
This is the platform's exemption clause, but a project failure can dampen supporters' enthusiasm and erode trust in the crowdfunding platform. Li Murong's question was indeed spot on!
Lu Chen replied calmly, "That's correct. Right now, I'm setting up this platform for my own benefit. If it grows in the future, I'll definitely need to bring in professional managers and develop more comprehensive and secure terms."
Li Murong nodded in approval.
Among today's youth, few exhibit the level of composure and thoughtfulness that Lu Chen demonstrates.
He smiled and said, "I almost forgot, you're an artist."
This wasn't a slight but rather a compliment, as Lu Chen was behaving more like a savvy businessperson!
"What's wrong with being an artist?" Su Daiwan interjected, pouting. "I'm still an artist, you know!"
Li Murong laughed and didn't elaborate, simply taking her hand gently, his eyes filled with affection.
Su Daiwan's cheeks flushed, and she shyly looked down.
Li Mubai could no longer contain himself and exclaimed, "Big Brother, stop flaunting your romance! After all that talk, can you help or not?"
This third son of the Li family had a straightforward thought: if it's not possible, just say so; why all the fuss?
'Big Brother was being too indecisive!'
With Li Murong's upbringing, he couldn't help but glare at his younger brother.
After a moment of contemplation, he said, "Lu Chen, how far do you plan to take this project?"
Lu Chen's heart raced, and he replied, "My initial idea was to turn a quick profit. If Brother Li is interested, I would be more than happy to have you invest, even holding a majority stake is fine!"
Lu Chen had originally intended to use the "Golden Birth Certificate" for his own benefit. If any venture capital showed interest, he would sell it for a fair price, believing it would be enough to settle his family's debts and leave some extra.
If Li Murong was interested, that would be even better!
Given the other party's wealth and demeanor, he wouldn't engage in any unscrupulous dealings. Even in a worst-case scenario, he could consider it a favor repaid to Li Mubai.
With the wealth of memories from another world, Lu Chen felt fearless.
His dream had always been to stand on that brilliant and glorious highest stage, and it had never changed.
But his intuition told him that Li Murong might not be interested.
Li Murong smiled and said, "I said Mubai has found a true friend."
"How about this? You two partner up to run this crowdfunding platform. The shares and everything, you can discuss among yourselves."
"What?" Li Mubai jumped up, exclaiming, "I won't do it! How can I take Brother Chen's shares!"
"Sit down!" Li Murong commanded, "What do you mean by take? You need to invest your own money to buy shares, helping your friend build his career instead of wasting time drinking and chasing girls. Look at how far you've fallen!"
"Besides, if you don't have shares, how can I get involved in this matter? Do you think the people at the Creative Protection Office are easy to deal with? Just treating them to a meal won't get their help!"
Li Mubai instantly wilted like a frostbitten eggplant, obediently sitting back down, his eyes darting around.
Li Murong smirked, "Don't think you can be clever. After investing in shares, your family won't give you money anymore. You'll have to earn it yourself, or else you'll obediently follow your family's plans and marry that girl from the Wang Family!"
Li Mubai looked as if he had been struck by lightning, his expression one of despair.
Li Murong delivered a final blow: "Mushi is coming back next month. This project is perfect for her to practice and supervise you. In the future, the family business will need your share; it can't all be squandered!"
"Li Mushi."
Hearing that name, Li Mubai trembled, his face paling.
He suddenly threw himself to the ground, hugging Su Daiwan's legs.
"Sister-in-law, help me!"
(End of this chapter)
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