Venture Capital's Project Risk Management

As we all know,venture capital play an important role in our economy. Every country are developing their venture capital. We have developed it for about 10 years and made some progress,but still at primary stage. After analyzed the factors which restricting the development of venture capital,the paper made a conclusion that in order to developing our venture capital,we must focus on venture project,strengthen project risk's management.In order to manage the risk efficiently,the paper analyzed venture project's risks firstly in detail,and found out the factors which lead to project's risk. And by quantifying the factors using fuzzy evaluating method,the paper put forward an practical risk evaluation method for venture project. Secondly,the paper analyzed the decision problem of venture project systematically. Consider that venture capital was invested step by step,show an option characteristic,the project value estimated by using traditional investment decision method will be underestimated,so I introduced the option value into venture capital decision and modify the traditional investment decision to get a more reasonable venture capital decision method. Based on these,the paper then discussed how to reduce and share the project risk by project portfolio or investor portfolio,by applying the fuzzy pattern recognition method to project termination decision,the paper also discussed how to avoid more loss by terminating an hopeless project in time. Finally,in order to avoid project risk from spring,the paper put forward some venture precaution.