Supply Chain Finance And Risk Management

The credit audit to small and medium-sized enterprises has always been a dilemma in traditional banking. The overall credit loans were exceeded the safety level on 7.5 trillion in 2010. However, the quota this year will reduce to keep a lid on inflation. Indeed, it's a great challenge to ensure the quality and quantity of the loans in the current economic environment.Supply chain finance, which emerged in the middle of twentieth century overseas, was introduced into China later as a new theory. It evaluates the level of every enterprise on the chain as a whole, not considering as each isolated subject. It also provides a new path to solve the problem of credit audit to small and medium-sized enterprises. In recent years, many commercial Banks are actively developing the supply chain finance. Therefore, this research is significant.This paper first introduces the structure of supply chain and other related concepts, including some basic products. The supply chains are then classified according to the characteristics of different industries. Besides, this paper mainly discusses the financial risk management, which concerns the credit risk evaluation most. After comparing some credit risk models, the paper focuses on the Logistic model, and puts forward some improvement methods and future development suggestions.