The Relationship Study Between Small And Medium Banks And SMEs Financing In Zhejiang

The outbreak of U.S. financial crisis, external demand has shrunk dramatically, Zhejiang medium-and-small sized enterprises mainly export-oriented faced with unprecedented challenges,had more trouble on financing, Zhejiang SMEs have made outstanding contributions to local economic growth, employment, national fiscal revenue, science and technology and technological innovation, once the SMEs faced by the split of fund chain, the consequences are inconceivable, the majority of SMEs closedown, A large number of migrant workers were forced to return home, there is a direct impact on the steady development of Zhejiang's economic prospects, the living environment, financing conditions of Zhejiang SMEs has been great concern in all sectors of society. Years of research and practical experience of developed countries shows that the relationship between SMEs and the small and medium-sized bank will partly relieve the problem of financing faced by SMEs.This article is based on the point of small and medium banks to research Zhejiang SME financing difficulties and countermeasures,it introduces the financing status of Zhejiang SMEs and the development status of small and medium banks. the reality of Zhejiang is that the direct financing channels isn't fluent, the banks is becoming a major financing channels for SMEs, In recent years, the small and medium banks develop rapidly, it is difficult to absorb large enterprise customers because of the restrictions on asset size,it is more suitable for small customers. Secondly, start with the local advantages of small and medium banks, analysis of the feasibility and effectiveness of credit to SMEs, take examples from successful experience of foreign banks, Again the focus of this article is to find an effective way to solve the difficulty of SME Financing——relationship lending. It is effective after cost-benefit comparison, It is Pareto optimal state, and then list the successful experience of Zhejiang Tailong Commercial Bank and Zheshang Bank, Finally, Separately from the government, SMEs themselves, the banks in these three areas to explore the measures and methods to improve SME financing services.