Research On The Venture Capital Exit Mechanism Of Guizhou Science And Technology Venture Capital Co., Ltd

At present stage in China, Venture Capital not only significantly promoting the growth of SME but also improving entrepreneurial success rate. The venture capital process can be divided into six step: Raising venture capital; project collection; project selection and evauation; make investment decision; sign investment agreement; enterprises management and operation; Capital exit. Among them, Capital exit is the last step, also is most important step. Capital exit refers to when enterprise growed up. VC firm transfer invested capital from equity into monetary fund.First of all, this paper will research on the concept and characteristics of the VC and the Capital Exit. Comparing different exit patterns and different channel of VC, discuss their advantage and disadvantage. Second, this paper will study on Guizhou technology Venture Capital Co.ltd’s investment case, focus on analysis the development of VC firms and VC fund firms in Guizhou, analysis the policies of VC, and study on specific investment projects. Third, this paper will research on Guizhou technology Venture Capital Co.ltd’s six specific investment and exit cases from 2011 to 2013, Compare exit patterns and exit profit between China and abroad. At last, analysis the problem of the Capital exit mechanism, and give the advice and suggestion.The conclusion of this paper is Guizhou technology Venture Capital Co.ltd should make choice about exit timing and methods according to the characteristics of the project, using multi-level capital market to exit to improve their efficiency and profit.