How new technologies will help attract investment?

Today, new technologies are developing at an ever-increasing rate. Digital legislation is being created, technology parks are opening up, software and hardware companies are growing.



Anyway, the search for an investment is still a difficult issue. How to use new technologies to solve this problem? Let's look at three types of interaction new technologies with investments.



First, a new technology may itself be an integral part of an investment. This is true for classic tech companies. An expert in hi-tech gathers a team and creates his product, then attracts an investor to grow the project. In our opinion, this type is at a very high level in almost any corner of the world.



In the second type, new technologies are the basis of an innovative business process. This refers to the use of various platforms and resources. Due to technology they reduce costs and make the business process more convenient. For example e-insurance, e-commerce, etc.



Innovative business process often implements in traditional types of business. The possibility of using a high-tech solution in a certain field mediates the emergence of more effective forms of embodiment of an activity. For example, Amazon, Alibaba, Ebay through the use of a digital platform were able to unrecognizably modify the trading market, known for centuries.



Do not confuse innovation business process implementation (digital transformation) with simple automation when IT solutions are implemented in the existing business model. Such automation is also necessary in some cases, but although it reduces many costs, it does not bring a significant qualitative and quantitative leap.



To distinguish between digital transformation and automation, take an example in the taxi market. Today, almost any serious taxi operator has its own mobile application. At the same time, the internal model of the company remains the same as it was before. This is automation. But if we take the example of Uber, then we observe not only process automation, but also a qualitative change in the internal model of the company’s functioning, that means a digital transformation of the usual taxi operation process.



Companies with innovative business process are now extremely popular in the world. We think the number of such projects will increase with the development of high technology.



The third type is when a new technology is an instrument for ensuring investment transparency. In this case, new technologies are used in formalizing the relationship between the investor and other project participants, process management, monitoring the implementation of the plan, making payments, in the distribution and payment of profits.



Here we are talking about technologies such as blockchain and artificial intelligence. Using the blockchain, an investor can conclude a simple and understandable smart contract with an investment applicant that will include all the nuances of further collaboration. When the project will work, the profit will be distributed automatically in accordance with the smart contract. The use of artificial intelligence will allow you to monitor the execution of all processes, calculate and deduct taxes and other payments, keep accounts and HR.



The use of new technologies in concluding investment transactions is of great interest. In addition its use in further control of the invested funds consumption. It gives opportunities for effective investment and for the development of small business and startups.



Crypto exchanges partly solve these problems. However the most relevant solution is creation of a simple digital crowdinvesting platform. In such a platform there is no need to introduce any complex financial instruments, cryptocurrencies, etc. Its interface should be as simple and convenient for users (investors and investment applicants) as possible.



Being investment consultants we understand that the main issue of any business project is trust between partners. If such a platform guarantees the solution of this issue with the help of technological and legal tools, then any high-quality project will be able to receive enough funding. By technological tools, we mean creating a convenient mobile application and website using artificial intelligence and blockchain. Under legal instruments is a well-developed digital legislation.



The platform should also cut supporting business processes (accounting, taxes, HR, planning, legal component, etc.). Such process often distract from creating a product that is the main goal of the business. Sometimes their presence repels potential businessperson from doing business at all.



This platform is good for projects with technology as an investment object or with innovative business processes. It will help transform the current economy model into Industry 4.0. Today it is possible to create an innovative infrastructure for all segments of life.