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  • Writer's pictureWiziin Inc.

TECHFEST 2021: Breakthrough solution for proptech startups in Vietnam

Following the talk series series organized by SmartCity & proptech Village organized by Techfest Vietnam 2021, the topic “Key factors to approach investors” will introduce common problems when raising capital of fledgling proptech startups. as well as give advice on overcoming barriers from this model.

The program is led by Ms. Minh Le – Co-Head of SmartCity & Proptech Village with the participation of Mr. Thong Dang, co-founder of the Wiziin platform.

Need to define a solution

In recent years, the digital technology platform in the real estate market is known more and more widely under the name proptech. It becomes an indispensable bridge between investors and suitable potential project funds.

It can be seen that in recent years proptech has “exploded” in Vietnam with a series of million-dollar contracts signed through this platform. Last June, Rever received an additional 4 million USD from Vinacapital Ventures. Real estate platform Propzy is planning to raise an additional $25 million in this year’s Series B funding round.

However, according to Mr. Thong Dang, co-founder of the Wiziin platform, Vietnam’s fledgling proptech startups miss many investment opportunities because they do not clearly define the solutions to bring to the market.

“If you create a product that the market already has, how will your product be different from what has come before? This is their biggest barrier,” Mr. Thong said.

According to experts, with the characteristics of the real estate market in Vietnam, there are many arising, which easily lead to legal problems and non-transparent transactions, the problem often posed for proptech startups is Accurate property valuation and management solutions. In addition, some potential solutions are also developing virtual home tours, ensuring the quality of transactions against the challenge of social distancing.

Process of approaching investors

Through organizations that connect investors like Wiziin, or competitions like Techfest, where young people find community groups and experts in the field, they will help them navigate the development model.

Particularly for a model like Wiziin, the team of advisors will help startups take the necessary preparation steps to successfully raise capital through 101 consultations. After that, Wiziin will make a list of potential investors. suitable for fundraising products to distribute documents. Investors with feedback will be selected and connected to the startup through separate channels to complete the next strategic development steps.

Steps to prepare necessary capital raising documents for startups

According to Mr. Thong Dang, in order to prepare a standard “pitch deck” fundraising application, young startups need to pay attention and prepare clear and accurate answers to the following questions:

What is your business model? What is the future rate of return? Note: Investors will only be interested if your model delivers “smashing” returns instead of 10-20% growth. What solution does your product bring to the market? Does it satisfy the needs of the market? Clarify what activities were done, how and for how long. What stages has your model gone through? Clarifying the current staffing team. Who is the leader? What is this person’s vision and strategy? What is the general financial picture for the next 1-3 years?

Notes for young startups

At the end of the sharing session, Mr. Thong Dang gave some notes to the startup community in general and proptech startups who are participating in the contest “INTELLIGENT CITY SOLUTIONS & REAL ESTATE TECHNOLOGY IN THE DIGITAL AGE”:

Firstly, the fundraising process needs 3-6 months to appraise the application, startups should prepare the work related to the paperwork in advance. For example, by the end of 2022 you will run out of the first runway, from June you should start preparing the necessary documents.

Secondly, for startups that are in the early stages, you should not look to crowdfunding because a decision must depend on a democratic process from shareholders, which takes time and reduce work productivity. Instead, the CEO or head should be the one making the decisions.

Third, if you are just forming with ideas, young people should not start raising capital but should choose to seek advice from expert advisors in the field of proptech. It will be better if you take the time to establish a clear legal team and company before going to meet investors.


About SmartCity & Proptech Village – Techfest Vietnam 2021

A ‘Green – Smart – Modern’ city with digital transformation as the foundation for development, innovation is an inevitable trend and priority of the country in the process of integrating into the digital era. SmartCity & Proptech Village within the framework of Techfest 2021 project will be a place to support and spread community values, an incubator and support startups in smart cities and real estate technology according criteria “Green – Smart – Modern”

Steps to register to attend Techfest 2021 – SmartCity & Proptech Village – Registration link: https://techfest.vn/hoat-dong/participation-cuoc-thi/ – Registration deadline: October 26, 2021

Candidates who register to attend prepare full information, including: – Full information about the project/entrant: Business name, Business age, Head office, Representative name- Title… – Project capacity profile

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