| Angel investment is a certain individual or family with a wealth of capital funds gives investment to expertise or item in early period which has unique huge potential, but lacks its own funds to develop, according to their personal preferences or areas of interest. Usually, the angel investment is a kind of earlier period of, direct-acting equities capital investment. Angel investment originated in the19th century, Broadway New York, and has a rapid development in Europe and emerging Asian countries or regions. Its rapid development injected new vitality to these country economies. Angel investment in China originated in the nineties of last century, but the studies domestic is relatively few. Still at the exploratory stage, the development there has been many problems and difficulties compared to the developed countries and regions. The international economic crisis sweeping the global economy has created a significant impact in China. While, our country proposed to develop a newly arisen industrial policy object. Under the national macro-economy back ground, how to develop the angel investment becomes an urgent problem that we need settle.In this paper, comparative analysis, specification analysis and empirical analysis methods are used to research the situation and development of angel investment in our country. This paper analyzes the constraints effect the development of angel investment, by drawing on European and American countries and Asian emerging countries experience in the development of angel investment. I try to put forward some suggestions of angle investment from the government, investors and enterprises three parts. This paper is divided into six chapters:The first chapter is an introduction part. It includes the main topics and significance of this paper, domestic and international literature review, methods of analysis used in this paper and the basic ideas and logical structure. The global economic crisis happened in2008caused by the United States has brought China’s economy heavy losses. While, our country proposed to develop a newly arisen industrial policy object to upgrade our industrial structure which has a high dependent on exports. Have studied some research papers about this investment, I learned angel investment has a strong supporting effect in science and technology start-ups in emerging industries, as well as effectively alleviate the plight of financing of SMEs. The starting point of this paper is to seek measures for the development with Chinese characteristics on the status of angel investment in China. This paper used the theory of industry structure and industry financing theory. The research method concludes empirical analysis, normative analysis and comparative analysis, the combination of qualitative and quantitative analysis. In the end the paper gives policy recommendations by combining the development experience of foreign countries.The second chapter is the basic theory of angle investment. It includes the meaning and application of angel investment, production and development, the operation and the differences between angel investment and venture investment. Angel Investors is an informal way with private, small, hidden and non-formal features. Generally, invest target is high-tech enterprise at the "seed" or early-stage. Angel investment has been a good development in emerging countries in Europe, America and Asia, but in China it is still in infancy. A complete angel investment process can be divided into:early options, investment, portfolio management and project out four links. There are significant differences between angel investment and venture investment in the investment motive, finance, investment scale and mode of operation, return and risk, etc.The third chapter gives a description of the development status of foreign angel investment and features. According to series of foreign develop measures, it comes the condition for angel investment smooth development. The angel investment in Europe and the United States has developed matured:the project based on high-tech enterprises, investors are mostly middle-aged men, and investors gradually increase intervention in the operation of enterprises. Angel investments in emerging Asian countries and regions have had a rapid development, such as Singapore, Japan and South Korea. By analyzing the foreign development measures in the information communication, government policies and measures, literacy, and exit channels, I draw some things in common: resources, and subjects and the environment is the three basic conditions in angel investment development.The fourth chapter is a key section of this paper. It made a discussion of the necessity and feasibility of the development of angel investment in China, and then analyzed the status and obstacles. Angel investment has huge effection on developing emerging industries, as well as effectively alleviates the plight of financing of SMEs. We need to develop this new invest method urgently to make up venture capital funds and venture capital deficiencies. At present, China has Basic conditions in political, economic, legal, and cultural for the development, but the lack of refinement in specific restricts the further development of angel investment.Chapter Five is the suggestions for the development of angel investment. It proposed solutions from the government, investors and enterprises by combining the above-mentioned obstacles and development experience. Government should give policies in the legal and financial environment, network building, advocacy guide aspects; Investors should take control measures in the project selection, contract negotiations, investment management and other aspects; Enterprises should improve their integrity and management level to attract more investors to participate in it.Chapter Ⅵ is a summary and outlook section. The development of angel investment in China is still in the "darkness before the dawn" state, but as China’s economic prosperity and development, entrepreneurial boom of the arrival comes, Angel investment in our country will certainly usher in the "spring ". |
