“Fundraising problem” is one of the main crux of the slow development of China’s industrialization，which is related to the role of the government and the investment behavior of businessmen. Discussing the history of China Merchants Steamship Navigation Company，the first large-scale new enterprise in China，will help us to understand this crux correctly. At the beginning of the establishment of China Merchants Steamship Navigation Company，there was a plan of “co-organization by the government and businessmen”，but under Li Hongzhang’s proposal，a “government-supervised business administration” system was established with “dominated by businessmen and supervised by the government”. After the establishment of China Merchants Steamship Navigation Company，with the support and assistance of the Qing government，it made a lot of profits，but it also encountered difficulties such as the placement of private individuals by officials. In order to expand its scale and improve its competitiveness，China Merchants Steamship Navigation Company has accepted the support of a large number of low-interest-rate loans from the government，but it has encountered financial difficulties after acquiring the American Qichang shipping company. In 1878，Ye Tingjuan served as the office of the China Merchants Steamship Navigation Company. In response to the lack of businessmen’s shares，he proposed to Li Hongzhang that the China Merchants Steamship Navigation Company should be converted into a state-owned enterprise. Li Hongzhang rejected Ye Tingjuan’s proposal based on the lack of government funds and the idea of “Businessman Dominated”. In 1880，while opposing Li Hongzhang’s purchase of armored warships，Liu Kunyi，who held the traditional idea of restraining business，suggested that China Merchants Steamship Navigation Company set up official shares. The businessmen of China Merchants Steamship Navigation Company were quite dissatisfied with the plan of nationalization and the establishment of official shares. In order to stabilize the investment confidence of the businessmen of China Merchants Steamship Navigation Company，Li Hongzhang tried to preserve the “Businessman Dominated” system of China Merchants Steamship Navigation Company. In 1881，due to factional disputes and the distribution of China Merchants Steamship Navigation Company’ repayment of public funds，Liu Kunyi once again suggested that China Merchants Steamship Navigation Company set up official shares. With the support of the central government，Li Hongzhang kept the original system of China Merchants Steamship Navigation Company. Li Hongzhang’s policy of “dominated by businessmen and supervised by the government” has attracted investment from patriotic businessmen. However，in the late Qing Dynasty，when the property rights of merchants lacked legal protection，the political situation was unstable，and the state was in financial difficulties，the enthusiasm of entrepreneurs could not be effectively exerted.