Each fund has corresponding investment objects. Of course, the specific investment operations are appropriately adjusted by the fund manager. So what are the investment objects of venture capital funds? What are the advantages?

What is a venture capital fund?

Venture investment funds refer to funds operated by a group of people with technical or financial expertise and experience and who specialize in investing in companies with development potential and rapid growth.

Advantages of venture capital funds:

1. The capital scale of venture capital funds is huge and can appropriately balance the concentration and decentralization of venture capital.

2. The institutionalization of management improves the efficiency of venture capital funds.

Venture investment fund investment objects:

(1) Science and technology projects that are in line with national industrial policies, have high technical content and are highly innovative

(2) The products have large market capacity and strong market competitiveness, and have good potential economic and social benefits.

(3) The project should have a certain degree of maturity, mainly in the research and development stage.

The project is in the research and development stage: refers to the project for the purpose of production, developing new technologies, new processes, new products, new methods, new devices, or making substantial technical improvements to existing processes, products, and production processes. A series of technical work carried out for improvement; the result should be a prototype (sample, prototype) with the basic characteristics of a new product or new technology.

The project is in the pilot stage: it means that the project is for production purposes and uses the prototypes (samples, prototypes), processes, technologies and other achievements obtained in the research and development stage to finalize the design of the product and obtain the technical parameters required for production. and a series of technical development work; this stage includes product trial production and design, industrial testing and small batch trial production.

The project is in the batch (scale) stage: it refers to the project using the technology development results in the pilot stage to carry out larger-scale production activities.