Evaluation Index System Of The Risk Of Investment Based On Risk Factors

Venture capital investment has experienced quick development in China, both the number and the size of venture capital investments has been booming in recent years. It is predictable that with the enacting of the low of limited partnership and second board, this industry will have further development in future. But there are several obstacles in venture capital investment, like how to evaluate the start-up companies, and how to investigate the companies. The traditional methods of pricing and evaluating have been proved not applicable in venture capital investments; the reason is that venture capital activities have their own specialties.In this paper, we are trying to built up an evaluation system for start-up companies in order to help people in venture capital industry do the due diligence job in a more thorough and efficient way, and we are also trying to find an evaluation model in order to compare similar companies when making a investment decision.