Chinese Smes Financial Support For Policy Research

The development question of small and medium-sized enterprises (SME) is a worldwide topic. SME are a unique strength in social & economic development, no matter in the developed countries or the emerging industrialized countries. Throughout the developed countries and the developing nations, the enterprises are mainly composed by two parts: some are big enterprises which accounts for the proportion of l%-2% approximately in the total number of enterprises; more are SME which accounts for the proportion extremely high, are enormous in quantity but relatively smaller in individual scale. The big enterprises are on the peak of the pagoda, but massive SME constitutes the pagoda foundation. Reviewing and summarizing from the history and experiences of enterprises development in 20^th century, we discovered that SME had the status and function which cannot be substituted in the national & economic system.SME are the most active economic subjects in the market economy and the important propelling force in the national economy growth. At present, SME in the developing countries are playing a vital role day by day in absorbing surplus labor forces, maintaining social stability, attracting private investment, resisting economy undulation, promoting economy development and the technical innovation, filling the vacancy of the big enterprises, providing cooperation, coordinating the regional economy development, maintaining market economy vigor and so on. They are not only the new economy growth spot of the countries, but also the indispensable power in disposing resources effectively by the market. The social, economic, political environment in developing countries including China, compared with developed countries, made SME to meet some universal questions. For example: the difficulty in finance, the serious fund insufficiency, the information construction backwardness, the scarcity of talented persons, the weak teamwork, the economic development failing to meet market needs etc. Both the "strong power but weak strength" economic status of SME and the immature market environment in developing countries set the intense policy claim to our government. And the public financial policy is playing a vital role.The paper logic is as follows:The 1st chapter limits the important concepts which are involved in the article, analyzes the survival and development theory of SME and the economic explanation between the government and them.The 2nd chapter analyzes the acting mechanism of SME public financial support policy, including the policy constitution and policy tool, policy focus, policy function way.The 3rd chapter demonstrates the financial support policy historical path of SME in China, and then reconsiders the plights of supply system of financial support policy from the historical and reality angle.The 4th chapter exposes the SME public financial support policy of the developed countries, analyzes the US market direction policy pattern, the Japan and South Korea government coordination policy pattern, and Italy financial policy, and summarizes the applicability of their policy to China.The 5th chapter, reconstructing the public financial support policy to promote the SME to develop, is the article keynote. This chapter embarks on basic principle of the financial support policy, then constructs more reasonable and the systematical SME financial support policy. The financial support policy implementation way includes: consummate tax policy environment and tax revenue preferential benefit management; the financial subsidy and the government investment and financing policies which enlarges the capital support; the government procurement system which dredges the fund chain of SME; the financial policy which supports SME service system and SME reforms.