Medium And Small Enterprises Financing Plight And Solution To The Problem

Financing for medium-sized and small enterprises is a globally common and continuous issue. In western countries, sophisticated financing system, prosperous and developed financing market and healthy policies have reduced it significantly. Since the reform and opening up, our medium-sized and small enterprises have contributed in fields of prosperous market, stable employment and reforming firms. However, to modify the financing environment by the government has not fully supported their financing needs. It's still with some distance from their hopes. Credit adequacy is still in a low rate. For these, researching their problems and giving solutions are theoretically and realistically important.Medium and small enterprises would always face multiple issues. One of the most difficult issues is hard to finance. They are developing in the nation's macroscopic market economy. Firms'belongings are reforming rapidly. Financing market is not yet fully opened up. So financing for medium and small enterprises has it's special difficulties.The methods in the research are quantitative analysis and qualitative analysis, comparative analysis and historical analysis, macroscopic analysis and microscopic analysis, normative analysis and positive analysis, there are three aspects of the research, first, to analyze present financing situation and digging in the reasons. Second, to build up a pattern about the effective factors with positive analysis. Third, to give some solutions on the difficulties.We tried to bring out some realistic solutions to fundamentally solve the difficulties with the understanding of our nation's economic conditions and facts. Therefore the medium and small enterprises can change their condition, then really contribute to the nation's economic growth with their strength.