The Study Of Small & Middle Size Business Venture Capital Law

The small and middle size business is occupying the important position in the development of the economy of our country. And how to financing has become the biggest obstacle to the progress of the small and middle size business. The venture capital (VC) is a new type method of financing which born in the Europe and grew up in the USA. I believe that it is also useful in China.Due to it is a new type method of financing, the market of VC especially the rules of it have not been built, the small and middle size business VC is facing a big challenge in China and it blocks the development of the VC. Thus it is urgent for us to enacted and amended the laws and rules of support and supervise of the small and middle size business venture capital.This paper, at first, will introduce the concept of small and middle size business as well as the venture capital, and then will study at the effect of the VC to the small and middle size business. Second, the author will work at the American laws and rules of the small and middle size business, for example the Small Business Investment act, and will study the experience of the USA. At last, the text will introduce China's practice in venture capital of small and middle size business and will put forward some countermeasures and suggestions to establish the legal system of China's small and middle size business venture capital.