Presented methodologies not only to startups but also to accelerators and venture incubators

Countless IT startups open and close every year. Startups are fragile; they can falter if they neglect even a single aspect, ranging from personnel and marketing to security and backup. Realistically, they cannot offer alternatives not only due to insufficient data and financial resources, but also because their financial statements and valuation analysis criteria are centered on the manufacturing industry.

Accordingly, Philobiz ( www.philobiz.co.kr ) launched 'Bizgress,' an analysis solution that identifies problems by industry structure and provides guidance.

While existing corporate evaluation criteria were based on a total score out of 10, Bizgress uses different scoring standards by industry. If a company completes a descriptive diagnostic report on the website, it can immediately receive a report analyzing eight areas, including industry-specific business models, marketing, profitability, and future innovation.


For example, if both an online marketing company and an e-learning solution company received a marketing score of 5, they are not considered the same score. It provides a Diamond SWOT analysis that identifies strengths and weaknesses relative to the average, strategies and rivals, production and demand conditions, etc., in the relevant industry.

Although there are no internationally established standards for industrial consulting, Philobiz has independently developed a machine learning-based business analysis and forecasting method and filed for a patent.

It provides startups with realistic alternatives to identify and improve their shortcomings, and can serve as an objective evaluation metric for investors such as accelerators and venture incubators. In particular, an investor managing around 50 startups at once can identify the characteristics of each company and gain methodologies such as, "They are currently exhibiting this investment trend, and these are the areas to watch out for."

Philobiz CEO Yang Hyo-wook said, “There has been talk in the financial industry that evaluation criteria are difficult because the only data available to analyze startups is financial statements. Therefore, we are exploring methodologies with the financial sector. If financial statements evaluated by banks account for 70%, I think Bizgress’s methodology would account for about 30%. A related service is expected to be launched around next year.”

Philobiz researched machine learning for about two years and launched BizGrass in both Korean and English versions in the latter half of 2016. They determined that while a culture of paying for consulting was becoming established overseas, awareness was still lacking in Korea.

It’s a different story if it’s a company with analysis data for about 1 million businesses, including not only domestic but also overseas. It is difficult to succeed on our own. We need to collaborate with organizations such as the Small and Medium Business Administration, accelerators, and venture incubators. Also, since IT startups tend to follow similar trends globally, I want to provide data showing "what the trends are like by country." For now, I am considering marketing strategies targeting English-speaking regions like Singapore, Hong Kong, and Malaysia.

Currently, Bizgress provides a primary analysis based on statistics. CEO Yang added, “Once data is accumulated, we plan to provide a secondary, future-predictive consulting service that predicts when a company will face a dangerous situation.”

In addition, Philobiz has launched RankQ, which provides channel-specific information for YouTubers based on machine learning and offers analysis data to Multi Channel Network (MCN) agencies. It accumulates over 3 million pieces of YouTube data daily via the cloud and updates rankings by measuring Ranking Index (RI), Media Index (MI), and Social Index (SI).