Analysis Of Private Equity Fund Business Operation Process

Since reform and opening, the economic development of our country forward at arapid rate of over10%per year. Nineteen ninties, the establishment of China’ssecurities market, after20years of continuous improvement, the rapid development ofstimulating private equity investment industry in china. More and more private equityfunds such as bamboo shoots after a spring rain like emerge in large numbers, toparticipate in the development of our economy construction, and rely on themanagement method, different business models and exit mechanism obtainedgenerous returns. Lots of in western dress and leather shoes practitioners hold theprofessional vocabulary shuttling between enterprises or investors, private equity fundwords occur frequently all kinds of media, an investment-riches story in a differentversion of crazy, many small and medium-sized enterprises also saw financing hope.However, we should also be aware that the development of China’s private equityfund is still in its initial stage, the aspects which need to be improved are also many,especially business processes more need to improve. Private equity fund businessprocess can be subdivided into six parts, namely, investment, management, financingoptions, exit, distribution. The actual operation with the greater relevance link, thebusiness process of private equity fund is divided into three processes, namely thefundraising process, the investment process (by options, investment and managementlinks with liquidation process (link) and combined assigned by the exit and). Thispaper is divided into three chapters fundraising process, investment of private equityfund, and the liquidation process description, to further clarify and analysis of privateequity fund overall business operation process.