Top Agency for Raise Funding in China

Cost-efficient Solution to raise funds in China. We help Western startups to pitch Chinese VC, PE and Business angels, and private investors in China. 

China was a golden age for start-up funding before 2020. Chinese start-up’s funding is set to break records in 2018, according to TechCrunch. Chinese technology startups raised $ 43.4 billion in the first half of the year, up from $ 58.8 billion in 2017.

Startup and Fundraising Trends in China for 2024

China’s startup ecosystem is highly dynamic and continues to evolve, driven by technological advancements, changing consumer preferences, and government policies. As we head into 2024, several key trends are shaping the startup landscape and fundraising activities in China. Here are seven notable trends:

1. Increased Focus on Green and Clean Tech Startups

With China’s commitment to achieving carbon neutrality by 2060, there’s a growing emphasis on startups in the green and clean technology sectors. Investors are keen on companies that offer innovative solutions in renewable energy, electric vehicles, battery technology, and emissions reduction. Fundraising is particularly vibrant in these areas as both private and government funds are directed toward sustainable development goals.

2. Rise of AI and Automation

Artificial intelligence (AI) continues to be a hotbed for investment. Startups that integrate AI into healthcare, manufacturing, automotive, and financial services are seeing significant interest. The Chinese government’s support for AI development as a part of its national strategy ensures continued funding and resources for startups specializing in machine learning, deep learning, and automated systems.

3. Healthtech and Biotech Innovations

The healthtech and biotech sectors are experiencing rapid growth, partly accelerated by the COVID-19 pandemic. Startups focusing on telemedicine, biotechnology, pharmaceuticals, and personalized healthcare solutions are particularly attractive to investors. The aging population in China further catalyzes the demand for healthcare innovation, making this a promising area for fundraising.

4. Expansion of Consumer Tech

Consumer technology remains a robust sector for Chinese startups, with a strong focus on mobile applications, e-commerce, and consumer electronics. The growth of 5G technology has opened up new opportunities for startups to innovate in areas such as streaming services, gaming, and virtual/augmented reality applications.

5. Cross-Border E-commerce Growth

As global trade barriers are renegotiated and digital platforms become more sophisticated, startups that facilitate cross-border e-commerce are gaining traction. These include platforms that provide logistics solutions, payment gateways, and local compliance services, making it easier for Chinese products to reach international markets and vice versa.

6. Fintech Innovations

Fintech continues to be a sector with substantial growth and investment, driven by China’s large unbanked population and the rise of digital banking technologies. Startups that offer solutions in payments, insurtech, wealth management, and blockchain are particularly poised for growth. Regulatory adjustments are also expected to open up new opportunities for innovation in financial services.

7. Edtech’s Continued Evolution

The education technology sector is set to grow further, despite recent regulatory crackdowns on private tutoring. Startups focusing on vocational training, professional development, and extracurricular activities not covered by the crackdown are seeing increased interest from investors. Technologies that support remote learning, such as AI-driven personalized learning and virtual classrooms, continue to attract significant funding.

USNEWS Chinese startups reportedly attracted 47 percent of all global venture capital

than starting a start-up. It is therefore not taken into account in the number of Tech in Asia startups.

Chinese start-ups earned 47% of global venture capital funds in the last three months ended June, compared with 35% in the United States and Canada, according to a Crunchbase report. The South China Morning Post (SCMP) wrote that Crunchbase may have underestimated the volume of fundraising in Asia because it only monitors the relatively large rounds.

Venture Capital Companies Invest Billions of Dollars in Artificial Intelligence and Blockchain Lines, Attracted by a Potential Market of 1.4 Billion Consumers Connecting and Expanding, From Entertainment to Health Care said SCMP.

As of 2024, the startup ecosystem in China continues to thrive with a focus on diverse sectors ranging from artificial intelligence to e-commerce and healthcare. Here’s a look at some of the top startups in China, highlighting their key data, funds raised, and valuations:

1. SenseTime – Specializing in AI and computer vision, this Beijing-based company has secured $2.64 billion across nine funding rounds, supported by notable investors like Alibaba Group and SoftBank Vision Fund.
2. Didi – Known for its ride-sharing and transportation services, Didi has raised an impressive $23.25 billion in funding, making it one of the largest players in its sector.
3. Yuanfudao – Focused on e-learning, Yuanfudao has gathered significant funding of $4.05 billion, serving as a major platform for educational technology in China.
4. WeRide – Operating in the autonomous driving space, WeRide has attracted $1.1 billion in funding, demonstrating significant growth in the drone and robotaxi sectors.
5. Zuoyebang – This educational platform has secured a total of $2.9 billion, offering online classes and courses primarily for school children.
6. WeDoctor – Providing a range of healthcare services via an online platform, WeDoctor has reached a valuation over $7 billion with total funding of $1.4 billion.
7. Pony.ai – With a focus on autonomous vehicle technology, Pony.ai has achieved a valuation of $8.5 billion.
8. Alibaba Cloud – As a leader in cloud computing and data management, Alibaba Cloud has raised $1.2 billion.
9. Nice Tuan – An e-commerce platform specializing in fresh goods, has raised $1.3 billion.
10. Mobvoi – Innovating in speech recognition and AI, has secured funding of $252.76 million.

Process

To attract Chinese investment, you must first calculate all the necessary investments, risks, and potential profits – if not, how will you explain to the investor how worthwhile this idea is?

You need to create a business plan for Chinese investors and a pitch desk to introduce your concept.

1. Analyze all expected revenues and expenses. Is the profit expected here (very important in China)?
2. Have you considered the cost of your time?
3. Have the bottlenecks been taken into account?

Again, check carefully all your calculations, then again, and have someone count again. If the numbers remain unchanged, you can move on with confidence and start looking for investors.
The agency that helps to raise funds is called an ‘accelerator’, and what you’re looking for in the individual realm is called an advisor/mentor.

As of 2024, the venture capital landscape in China is dominated by a mix of established and rising firms focusing on a variety of sectors from technology and healthcare to green technology and consumer internet. Here are some of the top venture capital firms in China:

List of VC in China 2024

1. Sequoia Capital China – Known for significant investments in technology and consumer sectors, Sequoia Capital China is a major player in the Chinese VC space.
2. Matrix Partners China – Focuses on early-stage investments, particularly in tech and healthcare.
3. Qiming Venture Partners – Specializes in healthcare and TMT, playing a pivotal role at early investment stages.
4. Tiger Global Management – This firm invests across multiple stages and is known for its involvement in major technology projects.
5. Shunwei Capital – Focuses on mobile internet and deep tech startups.
6. Hillhouse Capital Group – Invests broadly in technology, healthcare, and consumer services.
7. SAIF Partners – Active in technology, media, and telecommunications, SAIF Partners is known for supporting companies at various growth stages.
8. Lightspeed China Partners – Targets early and growth-stage investments in sectors like green tech, hard tech, and consumer fields.
9. GGV Capital – A global venture firm that invests across the US and China, focusing on multi-stage investments.
10. Kleiner Perkins – Although based in the US, it has significant activities in China, focusing on technology and healthcare investments.

You can apply to our Agency

Startup fundraising in China

• We can take a bit of equity (depend on the project)
• We can provide to you resources, coaching, Marketing Support (start at 2000$)
• Prepare the Buzz and PR operation (start at 8000$)
• We can connect you with Chinese investors – Pitch Them (5000$)