Abstract: Using 790 initial public offerings (IPO)companies as samples, which include SME board companies during 2008-2014 and GEM board companies during 2009-2014, from the perspective of IPO exit expectation of venture capital, this paper tests whether the venture capital can influence the innovation capability of pre-IPO and post-IPO companies. The results show that although there is a clear IPO exit expectation, the involvement of venture capital still has obvious active effects on the innovation input and output increment of the invested enterprises on pre-IPO and post-IPO. In addition, there are some obvious differences between SME and GEM board listed companies. For companies which listed in Shenzhen SME board, the IPO exit expectation of venture capital have no negative influence on the R&D investment, patent output ability, and Innovation efficiency of the companies, but increased the R&D investment, enhanced patent output ability, and improved Innovation efficiency after the companies listed successfully. However, these is no this kind of phenomenon in GEM board listed companies.