Marubeni's venture capital business, for example, is done via a credit subsidiary, but it has 10 staff members who look only for companies with strong technologies. Foreigners are also entering the field. The banks have traditionally been very hard on venture capital business. Many successful venture capital companies complained bitterly about near bankruptcy in tne early days when the bankers gave them chilly cold shoulders, but then when they turned very successful, the bankers started lining up outside their doors to get their business. Nevertheless, banks are growingly increasing interested in venture capital as in the 1970s Japanese corporations did not grow so fast and they became more efficient in the slow growth, making them less dependent on banks and the bankers business declined.
Japanese financiers are still rather conservative.
Other problems have been the difficulty in gathering information is that many of the small companies in Japan are subsidiaries of major companies that keep the information close to their vest. Moreover, although there have been many companies considered as isvestment objects, there has been difficulty in getting the members of the venture capital firm to agree. The companies invested in have also complained that there was too much pressure to pay out dividends too much and too fast. One of the major reasons for the tendency for concentration on superior companies already near listing standards is due to this. Otherwise, even if one were already lucky enough to invest in a company that grew smoothly and was very profitable, it is very difficult to sell the shares in Japan.