China Venture Capital Exit Mechanism

The withdraw mechanism of venture investment is a nuclear mechanism in the operation system of venture investment, it is a key factor to determine the success of venture investment. To establish an efficient and perfect suit of withdraw mechanism of venture investment is an indispensable and important segment of venture investment activities, it also has a far-reaching realistic meaning to the development of venture investment industry and economic construction of China at the present time.The thesis first expatiated the status and uses of the withdraw mechanism in venture investment system, then made a contrastive analysis about advantages and disadvantages of various withdraw modes, at the same time analyzed the choice of these withdraw modes making use of static game of complete information, draw a conclusion through using experiences of withdraw mechanism of venture investment industry abroad for reference and evaluating the status quo, advantages and disadvantages of domestic venture investment withdraws, that is: to develop the venture investment industry of China, the first thing is to construct a multi-element withdraw channel of venture investment and perfect Chinese securities exchange market; the second thing is to frame the law system concerned with venture investment, to establish and perfect interrelated policies, laws and rules; the third thing is to cultivate normative main body of venture investment and frame a balanced main body structure of venture investment.Based on the contrastive analysis of the withdraw mechanism of venture investment abroad, the idiographic suggestion brought by the thesis about the main withdraw channel of venture investment of China including three aspects: making use of stock market to construct the mainwithdraw channel of Chinese venture capital; to inaugurate the second withdraw channel for the venture capital through purchases and combinations of property right and return purchases of enterprises; to withdraw some of the lost venture capital through liquidation of companies.