A Study Of High-tech Small And Medium-sized Enterprises’ Financing System Innovation

Small and medium-sized enterprises accounting for 99 percent of the total number of China’s enterprises constitute the main body of the enterprise group and play an important role in our nationa economy and social development.They are an important foundation for the rapid development of economy.In general,these small and medium-sized enterprises are characterized by fierce competitions,inability to resist great risks,short periods of existence,regular fluctuation in operating,heavy taxation and low profit.Difficulty in financing is a problem that hinders the development of small and medium-sized businesses.In recent years,in order to cope with the impact of the economic crisis,more financing and credit resources have been focused on state-owned enterprises and listed companies and thus played a less important role in overcoming the difficulties of small and medium-sized enterprises in financing.Difficulty in financing is still a headache for small and medium-sized enterprises.Affected by the present financial system, innovative non-state-owned enterprises have difficulty in getting funds from regular financial organizations. Many of them have to obtain funds from non-governmental credit markets, which restricts the innovation and development of enterprises.Lacking specialized small and medium-sized banks with innovation mechanism and funds given to small and medium-sized enterprises is another reason for difficulty in financing.At present, there are some serious problems such as difficulty in financing,high financing costs.Financing is focused on the credit of banks.This is not compatible with the financing features and demands of small and medium-sized enterprises.Without genuine innovation and reform,there would be no efficient, orderly and rapid development. Financing for science and technology is a new financing channel, which involves banking, insurance, securities, enterprising investment, debenture, funds and so on. It is very necessary to let financial capital be involved in scientific and technological innovation, decentralize the risks caused by scientific innovation, share benefits brought about by scientific innovation and realize a combination of financing with scientific activities.Scientific enterprises’ features like high costs, fast growth, high return rates and high risks contradict the present operating guidelines of banks, causing the creditor’ money to fail to enter high-tech enterprises on a large scale. On the one hand, scientific enterprises are in need of a huge amount of money during its growth period. On the other hand, the financing system and mechanism are not so flexible. If we wish to get rid of the situation that indirect financing plays a dominant role in the financing of high-tech enterprises, more small and medium-sized financing organizations that offer financing services to small and medium-sized enterprises. China can learn from Silicon Valley Bank, be innovative in the financing system, promote the development of science by means of financing innovation, perfect the financing service system and put forward solutions to small and medium-sized enterprises’ difficulty in financing.In this dissertation, Chapter One introduces the Significance of selecting this topic, its research status and its practical innovation. Chapter Two dwells on the difficulties of small and medium-sized enterprises in financing and probes into the feasibility of financing organizations on the basis of system changes, financing innovation, the development of financing, the growth of enterprises. Chapter three makes an analysis of small and medium-sized enterprises’ difficulties in financing and the causes of those difficulties from the perspectives of the gorernment, enterprises and organizations by using Guangdong as an example. Chapter four analyzes the necessity of promoting the development of science and technology by means of financing innovation and establishing science and technology banks. Chapter Five analyzes the financing systems of high-tech enterprises during the different stages of growth, and financing features. Chaper Six makes a study of the international experience by using Silicon Valley Banks as an example and from the perspectives of financing science and technology and financing integration. Chapter Seven analyzes the business scope, operation models and management framework of science and technology banks. Chapter Eight analyzes the internal risk management system with the specialized features of science and technology banks.This dissertation has the following conclusions: The financing of small and medium-sized enterprises is very difficult mainly because small and medium-sized enterprises lack an excellent financing service system. What we lack is not the number of banks but those with their owm characteristics, specialization and the best service. Science and technology banks are established to innovate business models and system arrangement, to effectively make up for the malfunction of the current financial organizations and find solutions to the information imbalance between enterprises and financial organizations.