On July 04, 2008, the German Bundesrat finally approved the Law on Modernization of the Legal Framework for Financial Investments ("MoRaKG"). The MoRaKG contains inter alia the law on Venture Capital Investment Companies ("Wagniskapitalbeteiligungsgesetz" or "WKBG") intended to promote seed, start-up or early-stage equity investments in non-listed companies.  The article highlights the most important features of the new law.