In order to support the growth of high-tech industries, a sound financial system is very important. The development process of high-tech businesses includes several stages, such as R&D, start-up, production, expansion, and maturing. Due to the high risks in the early stage of high-tech business, it is usually difficult to find suitable sources of funds for start-up high-tech companies. Usually, the newer companies tend to access venture capital and private placements, while larger companies tend to contact banks, the stock market, venture capital, and government assistance. Companies at the later stage tend to search out banks and the stock market, as those at an early stage are apt to conduct a private placement. Concerning venture capital, it is generally supposed to play the support role in the very early stage of a business, but it concentrates more so in the middle stages. A sound financial system should provide lots of financial sources for different stages of industrial development. In order to support the innovation of high-tech R&D, financial innovation is also needed accommodatingly. In addition, the investment angel association and complimentary credit guarantee system will be also helpful for high-tech industry development. This study also finds that the funding sources of the digital content industry and the biotechnology industry show some similarities and differences, which are related to the distinct characteristics of the two industries.
