Intermediary investment promotion and entrusted investment promotion

way

Intermediary investment promotion

The so-called intermediary investment promotion means that the government or an institution or unit (the entrusting party) pushes the investment promotion project to the relevant international investment market through a professional institution or intermediary (the entrusted party), and the entrusted party selects the most ideal partner for the investment promotion party through a series of investment promotion activities and strict procedures of openness, fairness and impartiality. This way is a kind of entrusted cooperation in law. An agency or individual can sign any investment promotion agreement with investors, and the entrusting party will pay the entrusted party a certain activity fee on schedule, and then pay a commission according to a certain proportion of the investment amount after the project promotion or transfer is successful. It is characterized in that the trustee has to "handle" the project in person and "transfer" the project to the client after obtaining it, which is similar to a buying and selling relationship.

Entrust investment promotion

Entrusted investment promotion, also known as investment promotion agency system, refers to an economic activity in which the government or an institution or unit entrusts a trustee to conduct investment promotion, development and construction on the premise of providing corresponding responsibilities, authorities and requirements for the development of local economy. This way is a kind of principal-agent relationship in law. The agency or individual does not sign any investment promotion agreement with investors, but the client will sign it when necessary, and the trustee is the project promoter who implements the sharing system. After the successful promotion or transfer of the project, the entrusting party will pay a commission according to a certain proportion of the investment amount. It is characterized in that the trustee is only responsible for attracting investment for the project according to the requirements of the entrusting party, which is similar to an "employment" relationship. The trustee is generally a professional investment intermediary consulting institution or individual.

The remuneration for entrusted investment promotion is generally 0.1%-2.5% of the actual amount of foreign investment in investment promotion projects. For foreign investment projects directly entrusted by governments at all levels, the remuneration shall be borne by the finance at the same level. There is no report on the management method and payment ratio of intermediary investment. Both intermediary investment promotion and entrusted investment promotion are professional and market-oriented investment promotion operation modes, and standardized operation can improve the effectiveness of investment promotion. But in practice, for overseas funds, the role of intermediary investment promotion is generally greater than that of entrusted investment promotion.