Venture Capital Project Evaluation And Decision

As the high-tech industry's incubator, venture capital (VC) becomes dayby day the hot point that recognized by more and more people. Countries allover the world have being developing VC in order to promote economygrowth and country wealth.The evaluation of the investment projects plays a very important role inthe operation of VC. It is one of the key factors that may determine success orfailure of a VC investment. So VC corporation should evaluate ventureenterprise efficiently in order to improve profit and decrease risk. The papermakes a study on the evaluation of VC project from the point of view of VCcorporation and aims to answer the following questions: What procedure canbe used to evaluate the projects and how to evaluate? What index systemshould be established? How to make an investment decision?The objective of the thesis is designing a relatively comprehensiveevaluation system of venture capital projects by using the relevant foreignresearch results for reference, considering the development of venture capitalin our country, grasping the essence of venture capital, following the rightinvestment thought, using the appropriate methods, and choosing the feasibleevaluation standards. The paper uses scientific approaches to make the qualitative andquantitative systematic analysis on the process of decision-making of theinvestment projects and index system of evaluation. Both risk andperformance of the projects in different stages are evaluated. It is hoped thaton the basis of the VC evaluation mode domestic and abroad, theoreticalsystem and VC practical experience in China, we can summary and innovate,providing realistic foundations for VC corporation's investmentdecision-making.