Besides high risk, high profit, and initiative participation in the management, venture investment also have the following characteristics: First, venture investment is one of the important forms of private equity investing. In recent years, the investors of pension funds, donating funds, insurance companies and commercial banks usually invest 2-3%of capitals in the private equity investing (mainly in the venture investment), which can decentralize the risk of investing assembly while pursuing the high profit. Venture investment is not the loan investing but the equity investing. What it concerns is not the present situation of loss and profit but the developing prospect and the appreciation of assets; Second, venture investment is not the short-term or floating investment in the general meaning but a kind of medium and long term investment, generally taking 3-7 years to realize the withdraw of capital and obtain the profit. If investing in the start-up of venture enterprises, it would take longer about 7-10 years. And the high profit of venture investment is also a long-term profit. According to the statistics, the repay of 1- year venture investment is 22.3%, and the repay of 15-year is up to 26.8%, so the venture capital is praised as " patient capital ". Finally, venture investment generally adopts the assembling investment to decentralize the risk. The assembling investment can not only be the assembly of different enterprises in the same industry but also be the assembly of different industries or different regions or the assembly of different developing stages of venture enterprise. Through the assembling investment, the venture capitalist can use the high repay that the successful enterprises obtained to cover the deficit and get the profit. In addition, the venture investment organization can also invest an item though the joint investment that is to unite several venture investment organizations to reduce the risk of investment. The table below reflects the difference between venture investment and general financial investment from different aspects.

Item	Venture investment	General financial investment
Object	Newly emerging, high growth, potentially competitive enterprises Small and medium enterprises	Mature traditional enterprises Medium and large enterprises
Way	Adopt shareholding investment generally, pay attention to the developing prospect of enterprises.	Adopt loan mainly, need to pay back the capital and the interest on time, pay attention to the security.
Verification	Take the realizing possibility of technology as the emphasis of verification, and take the technological innovation and the market prospect as the key of investigation.	Take the financial analysis and the material guarantee as the emphasis of verification, and take the ability of payback as the key.
Management	Participate in the operation, administration and decision-making of enterprise. Strict investing management Cooperation relationship	Don’t get involved in the decision-making system of enterprise generally, only provide the reference and consultation. Debit and credit relationship
Repay	Share risks and profits, if the enterprise has an enormous development, it can transfer the shareholding and take back the investment.	Take back the capital and the interest according to the deadline of loan contract
Risk	Big risk Most of invested enterprises may fail, but once succeed, the profit would be enough to cover all losses.	Small risk Besides investigating the responsibility of operator, it would not exempt the owed capital and interest if can’t take back on due time.
Quality of personnel	Have the knowledge of technology, management, finance and market, have the ability to analyze and control the risk, and have the strong holding capacity.	Have the knowledge of financial management, have no knowledge of technological development, have a lower level of feasibility research.
Market focus	Future potential market Difficult to predict	Available mature market Easy to predict

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