Research On The Financing Problem Of The Western Private Enterprise In China

As the reform of the economic system deepens constantly, the private economic has become one important part of socialist market economy. The revenue of much local private enterprise has accounted for 60% to 70% of the local government receipt, being the main finance resource. And the capital, the important and survival part of the private enterprise, becomes one of the important factors which can restrict private enterprise's development. Therefore, the financing problem of the private enterprise has become an important task for research.The paper definite the conceptions of the private enterprise and financing.Based on the financial structure theory and corporate financing structure theory, the paper analyzes two worldwide representative finance pattern, securities financing and bank loans financing and discusses the revelation which the fostering policies of the private enterprise and financing in foreign country bring to our country.In order to find out the source of financing difficulty of the western private enterprise,the paper uses comparison method to analyze the differences for region financing efficiency, and the characteristics of the western private enterprise's financing are as follows: internal source financing is the main pattern of financing; the main channel of extraneous source is still indirect financing; the proportion of equity capital is larger while that of debt capital is smaller; current liabilities are high while long-term liabilities are low; informal finance is the important channel to capital operation. On this basis, the paper researches the financing difficulty of the western private enterprise, that is, the enterprise's financing channel and capital source are impacted and restricted by both financing system obstacle and internal system environment of enterprises. In the financing system obstacle aspect, the procurability of the private enterprise capital is less, and its accumulation is deficient, which results in the large proportion of internal source financing. In the current extraneous source of financing system, capital market is lack of hierarchy and fund-raising capacity of security market is weak. Besides, there are many other factors leading to the difficulty and high costs of financing of the private enterprise, such as, the infirmity of macro-environment system, the restriction of supervise policy of the state-owned finance organization and the asymmetry of current property system and Lack integrity system.As for the question above-mentioned, the paper proposes several solutions. The solutions are to carry out the reform of finance system, reform financing environment, set up complete direct and indirect financing system, consummate the credit guarantee mechanism to provide investment support system for risk investment, strengthen and normalize private enterprise's own construction. By these systematic solution program, we can break through the difficulty of financing of private enterprise and try to realize the optimization of enterprise financing structure and normalization of financing behavior to improve the efficiency of financing.