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What are VC, PE, LP and GP?
1, General Partner (GP):

Many times GP and LP coexist. And it mainly exists in some companies that need a lot of capital investment, such as private equity funds, hedge funds, venture capital and so on. You can simply understand that GP is an insider of the company. In other words, GP is the person who makes investment decisions and manages the company internally.

2. Limited partners:

Many times, a project needs to invest tens of millions or even hundreds of millions of funds. Most investment companies have many different projects. ) and the investment company's gp doesn't have that much money-or they don't want to invest so much company money in a project in order to share the risk.

3. angel investment:

Many times, the company chosen by angels will be very, very early enterprises, and they don't even have a complete product or only a concept.

The investment amount of angel investment is often not very large, generally within the range of 50- 1 10,000, and the shares exchanged are between 10%-30%. From the figures alone, the investment quotas of the United States and China are basically close. Many times, it takes at least five years for these enterprises to go public.

4. Venture capital:

Generally speaking, when an enterprise develops to a certain stage. For example, when there is a relatively mature product, or it has already started to be sold, the 65,438+0,000 funds invested by angels will become as insignificant as the rain in Mao Mao. Therefore, venture capital has become their best choice. Generally speaking, the investment amount of venture capital will be within 2 million-10/00000.

Extended data:

fulfil obligations

1, GP investment obligation

General partners usually need to provide 1% of the total capital of the fund. Although the ratio of 1% is relatively small, because the total capital of the fund is very large, it is not a small amount for individual general partners. The purpose of requiring the general partner to contribute capital is to share the risk with the limited partner and prevent it from taking excessive risks.

2.GP joint payment

The general partner is responsible for the operation and control of fund affairs. In order to protect the interests of creditors who have dealings with the fund, the law stipulates that the general partner shall be jointly and severally liable for the debts of the partnership fund. The undertaking of joint and several liability constitutes a strong constraint on the general partner, which makes him truly fulfill his fiduciary obligations and responsibilities for the operation of the partnership fund and restricts the general partner from borrowing a lot in the name of the fund.

3.GP information disclosure

The general partner shall regularly provide the limited partner with the financial statements of the fund, provide reports on the value and annual development of the enterprises invested by the fund, and invite the limited partner to attend the annual meeting of the fund.

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