Chatu Mongol, an 'angel' for start-ups

He said he failed for a decade because he ran businesses to gain experience and make contacts. “All my previous businesses failed. I did them blindly. I just wanted to gain experience and get to know people. I lost some money but not much. Now I work carefully,” he told The Nation. 

Chatu Mongol is now chairman of MTR Asset Managers Co, which provides business services for its clients, such as paying tax, salaries and dealing with banks over loans. 

He said the clients’ combined worth was between Bt10 billion and Bt20 billion. His clients include the Exchange Tower, Jungceylon Shopping Mall, Mercury Tower & Mercury Ville, the Millennium Hilton Bangkok and the Royal Phuket Yacht Club. 

“I don’t own these businesses, I just provide services to them. I just make enough to support 50 office staff and seven or eight engineers,” he said. 

Another one of his businesses is the CBM Facilities Management joint venture, which provides services to firms such as carpark operators and computer repair firms. Like the other business, it does not generate substantial money and its future is also uncertain, Chatu Mongol said. 

So, he decided to become an “angel” investor to help people become rich together.

He has already put about Bt30 million into CoCo Easy Co, a start-up that uses a laser to open coconuts, and plans to invest in two other start-ups, which he declined to name. 

He did, however, reveal that being an “angel” investor was not easy – he invested in CoCo Easy about three years ago and expects the company’s cash flow only to turn positive this month.

Chatu Mongol said he required his business partners to set up a research and development fund in order to develop new products. “My condition is 10 per cent of profits and 2 per cent of the revenue must be earmarked for R&D,” he said. He prefers start-ups that own a patent or products that could dominate the market. 

He said he would cover about half the total investment and pay the patent holder back after the business generates revenue. 

Chatu Mongol describes himself as a value investor. “I never look at the stock index.”

But he admitted to making a major mistake when he did not buy Airports of Thailand shares at Bt32 a share despite a friend’s recommendation. He said he decided against buying the shares because of fear that Suvarnabhumi Airport would be shut down by protesters, like in 2008 during the yellow-shirt rallies. Now, each AOT share is about Bt300 per share. 

“I really missed the opportunity for making a high profit. Had I bought Bt10 million of AOT shares, it would be worth Bt100 million now.” 

He refused to comment on prospects of being in the next Cabinet, only saying he wanted to spend the next five to 10 years creating substantial income for his family.