How are film projects financed through Chinese ...
A private investment fund refers to an investment fund established in the People’s Republic of China by raising funds from investors in a non-public manner.Private investment funds can be divided into contract funds, limited partnership funds and company funds according to different organizational forms.Private investment funds can also be divided into securities investment funds, equity investment funds, venture capital funds and other types of funds according to different investment objects.Private investment funds for film and television investment generally have the following characteristics: (1) A wide range of funding sources, including but not limited to insurance companies, banks and other institutions or high net worth individuals.(2) Diversification of exit channels, including but not limited to IPO, equity repurchase,as well as merger and acquisition.(3) Legal requirements such as the non-public nature of the raised funds and “qualified investors”that meet the requirements of laws and regulations.(4) The word choice distinctiveness of investment objects, which includes not only the equity of film and television companies but also projects in the film and television industry such as film production projects.However, while private film and television investment funds have high investment and high returns, there are also “high risks”, which require fundraisers to be familiar with and abide by Chinese laws and understand the complete process of the film and television industry.(https://www.daowen.com)