What is an industrial fund?

There are many kinds of funds, such as industrial funds, which are rarely heard of and not well understood. So what is an industrial fund?

What is an industrial fund?

Industrial fund refers to industrial investment fund, which is also called venture capital fund or private investment fund in other countries. This fund mainly invests in companies that have not yet been listed but have great potential. Through equity investment, such companies participate in their daily operations, and when the company matures, they can gain benefits by transferring equity. The main purpose of industrial fund investment is to select the investment object first, make a strict inspection of the object, then manage the investment and finally quit.

Characteristics of industrial funds:

1, the investment cycle of industrial funds is relatively long, generally it takes at least 3 years and 7 years;

2. Enterprises invested by industrial funds are generally unlisted enterprises:

3. After investing in the enterprise, the industrial fund will actively participate in the daily operation and management of the enterprise;

4. The investment goal of industrial funds is to discover the potential value of enterprises, help enterprises to develop continuously through industrial investment funds, and then withdraw in the right way at the right time to obtain investment income.