Study On Financing Of SMEs And Non-governmental Finance

Along with our country's economic development, the small and medium enterprises (SMEs) have become an indispensable and important force in promoting China's economic growth. However, as the same with other Countries around the world, financing of SMEs is the prominent problem of restricting the development of SMEs. In fact, the non-governmental finance has been an important force to support the development of SMEs. Regrettably, the non-governmental finance has been put under the illegal and has not been given legal status. Therefore, it is necessary to discuss the inter-relationship between the financing of SMEs and the non-governmental finance.This paper based on the non-governmental finance. First, from the view of the difficulties in financing of SMEs, analyzing the advantages of the non-governmental finance to support financing of SMEs. Then, based on the practice, describing the situation of financing of SMEs from both qualitative and quantitative. Next, using comparative analysis to analyze financing of SMEs and non-governmental finance of the Japanese model, the Taiwan model and the Wenzhou model, drawing the experience from them. Finally, raising the recommendations of standardizing the non-governmental finance, and establishing a sound system of financing of SMEs. The recommendations include three aspects. Raising measures to be taken to standardize the non-governmental finance from establishing legal status, perfecting monitoring mechanism and setting up rational system of property rights. Constructing new non-governmental finance institutions including small non-governmental financial bank and non-governmental cooperative institutions. Raising relevant measures to improve the system of financing of SMEs...