Compared with traditional creditor's rights investment methods such as loans, an important difference of industrial investment fund investment is that fund investment is equity, and the focus of attention is not on the current profit and loss of the investment object, but on its development prospects and asset appreciation, so as to obtain a high return on capital gains through listing or sale.

The specific performance is as follows:

First of all, the investment targets are different. Industrial investment funds mainly invest in emerging enterprises with great growth potential, among which small and medium-sized enterprises are the focus of their investment. Debt investment is mainly based on mature enterprises with stable cash flow.

Secondly, the focus of qualification examination of target enterprises is different. Industrial investment funds pay attention to development potential, and management, technological innovation and market prospects are key factors. Debt investment focuses on financial analysis and material guarantee, in which the enterprise's ability to repay without compensation is the key to decide whether to invest.

Third, investment management methods are different. After the industrial fund invests in the target enterprise, it should participate in the management and major decisions of the enterprise. However, creditors only have reference and consultation functions in enterprise management, and generally do not intervene in decision-making.

Fourth, the return on investment is different. Industrial investment is an investment model that takes risks and enjoys profits. If the invested enterprise is successful, it can get high returns, otherwise it may face losses, which is a typical high-risk and high-yield investment. The debt investment will recover the principal and interest according to the loan contract on the maturity date, and the risk and return on investment will be much lower than that of industrial funds.

Fifth, the market focus is different. Industrial investment funds focus on the potential market in the future, and its future development is difficult to predict. Debt investment is aimed at the existing mature market which is easy to predict.