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The Juristic Research For Small And Medium-sized Enterprises Financing

Posted on:2005-09-19Degree:MasterType:Thesis
Country:ChinaCandidate:N LiFull Text:PDF
GTID:2156360125456690Subject:Economic Law
Abstract/Summary:PDF Full Text Request
Small and medium-sized enterprise (SME) is an important part of national economy and it takes large proportion in terms of Gross National Product, saleroom and employ. The SME can't be substituted for sizeable enterprises in the national economy and the development of society. Every government has a common cognition that it is necessary to develop SME forcefully, however, even if SME hold the balance in the national economy of China, it has many obstacles in its expanding. Financing obstacle is the most prominent problem of them. In this article, financing obstacle is discussed in order to give some suggests for it.Firstly, the definition of SME is defined, taking the number of employee, saleroom and corporate assets as the definable standard; moreover, the important of SME is expatiated. Then, all kinds of outer represents and the causes of the financing obstacle are analyzed. To say in detail, that is: loading to SME, which has poor credit, is opposite to the productiveness of banks and other financial institutions, so SME has many difficulties to have loan from direct financing. In the aspect of indirect financing, laws make very stern qualifications for SME not only in coming into the mainboard market but also in floating debenture. These lead SME can't attain fund expediently. At the same time, venture capital has no open withdrawal, which influences SME raise money too. Finally, some possible resolvent are offered to solve this problem pertinently. E.g., in the aspect of indirect financing, expand all-kinds small and medium-sized financial institution , such as, set up policy-bank, which is non-productiveness, set up civilian financial institution, and financing-leasehold etc. In the aspect of direct financing, establish second-board market, in this market, not only SME can issue stock but also venture investment can take a good environment to circulate well and get venture capitals. In addition, ABS, which is an innovative financial system, is another effective approach. Constructing credit system of SME isvery crucial because it has primary signification for SME's financing, such as setting up efficacious system of credit-appraisal, consummating system of credit-assurance, enhancing SME's credit consciousness, improving the behavior of related agencies and managing them regularly. Furthermore, SME's promotion statute of the republic of china is put in force in 1, January,2003. It offers jural supports and directions for the financing of SME in many ways. Of course , SME's financing obstacle is a complicated systems engineering, is a cosmopolitan problem, so the author tries to take other countries' methods as reference in this article. At one time, we should draw the advantaged experience based on the situation of our country.
Keywords/Search Tags:Small and medium-sized enterprise (SME), financingv direct financing, indirect financing, credit system
PDF Full Text Request
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