Analysis On The Factors That Affect The Financial Structure Of SMEs In The Northeast Old Industrial Base

The small and medium-sized enterprises have an important place in the developing of the society and the national economy, but the difficulties it faced in the financing limited it's developing. Because of it's special needs for the financing methodes, internal direct financing and external indirect financing and informal finance are the main choices for the SMEs. For the disadvantage and the high taxation, internal direct financing can't efficiently satisfied the needs of the SMEs,as to the external indirect financing, information asymmetry lead the high cost and the obvious credit ration, besides, informal finance hardly needs direction and standardization.There are many systematic and structured problem in the developing of the northeast old industrial base, for example stated-owned capital is high, market advancement is slow, people's ideology and conception are relatively backward, the SMEs'management level is low, and so on, and these factors lead to some special characters in the financing of the SMEs in the northeast old industrial base. Such as the ratio of internal financing is lower than the developed regions, and the ratio of bank loan is higher than the developed regions and "scale discrimination" is especially obvious in the northeast old industrial base. This is the result of the effect of the internal and external environment,this text is designed to study the structure and it's factors of the SMEs financing in the northeast old industrial base, and then find the key to resolve the financing problem.This paper definize the small and medium-sized enterprises and its features, then analyse the nature of the financing of the SMEs, and we find the general nature is to find the financing method which fit for different type and growing phase, and also can lower the information asymmetry, but the special institution and manage make the financing of the SMEs is more flexibly. In the process of financing it will be restricted by the external and internal factors.This text describe the situation of the northeast old industrial base, and put empahsis on the field which are related to the financing of the SMEs, such as the stated-owned capital in the society, the development of private economy and the financial system. Based on the pecking order theory, this paper is designed to test the factors that affect the financial structure of small and medium-sized enterprises in the northeast old industrial base, in which we used the statistic description and Multi-Linear Regression Model and the method of Stepwise Regression. The result shows that the financial structure and its determinants of small and medium-sized enterprises in the northeast old industrial base are different from the developed regions. Most of the SMEs are State-owned and the traditional manufacturing industry, so its internal financing is limited, the ratio of assets and liabilities is high, but the financial method has been diverted from the bank loan to the other debt financing such as the trade credit. Besides, the total assets and the number of employees are significantly related to the debt financing, which shows that the "scale discrimination" is especially obvious in the northeast old industrial base.The key method to resolve the financing problem is to deal the information asymmetry between the SMEs and the investor, so in the last part of this text, I give some suggestion such as improve the management of the SMEs, minimize the effect brought by the credit rationing and financial gap, and so on.