Fundraising for Chinese venture capital

Abstract

In the first chapter, the current profile of the Chinese venture capital market sketched out the ways in which Chinese domestic venture capital as a whole has been marginalized by their foreign competitors. To highlight the defects in Chinese venture capital jurisprudence which have created this frustrating situation for Chinese domestic venture capital, the operational model of American venture capital will be relied on as a mirror. As mentioned above, the American model is basically comprised of three parts: fundraising, operation, and exit. With regard to fundraising, American venture capital tells us that institutional investors play an indispensable role. Based on American wisdom about the fundraising of venture capital, relevant laws and regulations in China will be examined to determine whether they have prevented Chinese institutional investors from co-operating actively with Chinese domestic venture capital. Finally, legal reform measures will be proposed.