Research On The Risk-sharing Model Of Venture Capital Based On Financial Contract

As a non-traditional financing way, venture capital can provide funds to supporthigh-tech enterprises, which can promote the market potential of the high-techenterprise with the survival and development. By the accelerated high-techachievements transformation to the actual productivity, it promotes high-tech enterprisesfrom small to large, from weak to strong, so as to promote the economic boom andprosperity. However, because the risk of venture capital in China is too big, it does notgive full play to the function of incubating high-tech enterprises, seriously hindering thedevelopment of high-tech enterprises. Only by reducing the risk of venture capital, itcan promote the development of high-tech industry. This paper based on the financialcontract for venture capital risk-sharing model research, aims to build the risk-sharingmodels appropriate to the venture capital in china, thereby reducing the risk of venturecapital and promoting the rapid development of high-tech enterprises.First, the paper introduces the background and significance of the study, the mainof research methods, research content, and innovative aspects, and makes an overviewof the present research situation at home and abroad. Then an overview of financialcontract theory，risk management theory and game theory in order to provide theoreticalsupport for the follow-up study. Then this paper analyses the risk of venture capital,including: enter risk, operational risk, exit risk. The fourth chapter is the core of thispaper, based on the risk of venture capital, this paper builds the risk-sharing models ofventure capital based on financial contract.Before building the risk-sharing models, thispaper analyses the subjects of risk-sharing, these subjects include: venture capitalinstitutions, business enterprises, government, insurance agencies and so on. On thisbasis, according to the relationship between the different subjects, build the appropriaterisk-sharing model. Finally, propose a complete set of risk-sharing model of somepolicy recommendations, including the development of venture capital investmentinsurance system, improving the relevant laws and regulations of the venture capitalinvestment, and providing policy protection, the establishment of the Venture CapitalExit platform and nurturing Venture Capital compound talents.