Policy Research Analysis And Resolving The Plight Of Small Loan Company In Zhejiang

Since our country began to pilot the small loan companies in2008, the small loan companies have appeared like the growing bamboos after a spring rain. Now with the rapid development of market economy, the scale of micro-credit in China is increasing more and more. All sectors of society give the wide attention to the phenomenon which is that the commercial bank’s lending and loan business begin to be weaken while the small loan is active in the present market. As a supplementary loan ways of the commercial banks, the small loan makes up for the commercial bank’s lack and especially plays a significant role in facilitating the development of the private economy and rural economy in our country. But on the other hand this loan has big risks and difficulties, which gives a great pressure on its sustainable development. How to overcome this risks and difficulties, to play the positive role of micro-credit better, to make it meet the demand of modern market better and to support the micro-credit’s development to the active side, all these have the important significance to both the micro-credit and the overall economic developments.The theoretical study is not yet perfect, because the development of the small loan companies is just at the beginning stage. In order to make up for the study’s deficiency and support the small loan companies’ better development, this paper will choose the development problem of the small loan company in Zhejiang Province as the research subject, which is the dilemma of the small loan companies in China. It will outline the small loan company’s concept, its own characteristics and its competitive advantage. It will also investigate its impact on the present micro-credit developing situation in Zhejiang Province as well as the our economic market, and analysis in detail the problems in the two aspects of the macro environment and the company itself in the developing process.This paper will use several methods, such as the literature analysis, trend analysis and data analysis to study the projects of the small loan companies in Zhejiang province, and to found out the problems and risks of the sustainable and development orientation, the legal system, the supervision system and the market access system. Then in the light of how to solve all these problems, the author will give personal advice about the next research direction from the agencies, innovate cooperation modes, shareholder structure, tax policy, etc. Thought the beneficial references for the development of our country’s small loan companies, it will finally solve the developing dilemma and open up a Chinese characteristic sustainable developing road of the small loan companies.