Legal Research On Foreign Venture Capital Funds

China's venture capital business starts from 1980s, and promote the high-technology industry. But the future of this new way of investment is not so bright. The main obstacle lies in the lack of relevant legal protection. After entry into WTO, China's economic connection with other countries is strengthened and makes full use of foreign capital. Besides traditional international direct investment, we should pay much more attention to the way of using foreign capital in the venture capital. Foreign venture capital funds is the funds foreign capital establish in china. This way has some specialties in the scope and the content. In order to make full use of foreign capital, it is necessary to analyze the legal issues on the foreign venture capital funds.This thesis concludes five parts: the first chapter states the basic concepts and the developing tendency of foreign venture capital funds; the second chapter discusses the organization models of this kind of fund, and demonstrates the most common ways. They are incorporated model and limited joint model, and describe the main organization models adopted by other countries. The third chapter is about the withdraw mechanism of this fund including: the definition, the function, and the patterns. The fourth chapter discusses the supervision and market access of foreign venture capital funds. The fifth chapter, the key of this article, analyzes the problems arising from the development of china's foreign venture capital funds.This paper uses comprehensive analyzing way, such as Marxist dialectical materialism, Law and Economics, Systems approach and comparison. Then the conclusion comes: we should consider our own domestic situation, choose the advantages of other countries' legal system, fasten the legislation on this issue, prefect the legal environment, remove the legal obstacles in this field, and promote the development of our high-technology enterprises. In order to get more investment benefits from the venture capital, it is necessary to establish the withdraw channel. By all the efforts mentioned above, foreign venture capital funds can recycle efficiently, and to be the new engine for china's economic prosperity.