Government guidance fund, also known as venture guidance fund, refers to the special funds invested by the government to attract relevant local governments, finance, investment institutions and social capital, invest in venture capital institutions or newly established venture capital funds in the form of equity or creditor's rights, and support the development of venture enterprises for the purpose of non-profit.

The government guidance fund supports the entrepreneurship and technological innovation of small and medium-sized science and technology enterprises in the initial stage by guiding the venture capital behavior.

More than 50% of the funds of the provincial guidance fund are used to participate in the establishment of 3-5 venture capital funds, each with a scale of about 400 million yuan. Among them, the provincial guidance fund will be completed within 2-3 years. According to the the State Council Document, the fund management company is an independent legal person and has established a board of directors. The management responsibilities of provincial guidance funds and the rights and interests of provincial guidance funds abroad bear corresponding obligations and responsibilities, and are responsible for selecting, supervising and evaluating venture capital funds established by provincial guidance funds. The Council has an office to punish specific matters in a complicated way and guide the daily management and operation of the fund. The board of directors adopts public bidding and entrusts an agency that meets the proton conditions. For the requirements of venture capital funds supported by provincial guidance funds, the board of directors selects professional management companies that meet the conditions of autonomy through public bidding. The management company has relevant requirements. On the one hand, government funds can be operated in a market-oriented way, and on the other hand, the government's intentions can be well implemented and implemented through leverage. At the same time, it can also improve the operational efficiency of state-owned capital through marketization, support the development of emerging industries through this lever, and introduce venture capital into the local area through venture capital to form a financial environment for financial investment and venture capital. In addition, through the intervention of venture capital, local enterprises can standardize their operations, reorganize their listings, quickly enter the capital market, and help local enterprises form leading and advantageous industrial clusters.