| Small and medium-sized enterprises (SMEs) are playing an increasingly important role in our country's economic development. This is because first from qualitative prospective, they have the advantages in promoting economic growth, increasing employment, and promoting technical progress and so on, second from quantitative prospective which could be reflected from the SMEs'contribution to our country's GDP. Thus, the stable and healthy development of SMEs becomes the focus of the government and society. However, for one respect, the industrialization in our country started very late, thus, all the emphasis is on large and medium sized state-owned enterprises during the reform and development and to a certain extent neglected the development of SMEs. In addition, in making policies and laws, the government does not give enough support to SMEs and the corresponding support system are not strong enough. Thus, in the increasingly fierce market completion, the SMEs are in a very difficult situation. On the other hand, the SMEs has many innate defects and obstacles in the development. Of which, the most serious problem for SMEs is the shortage of capital, difficulty in finacing. Especially under the current situation of inflation and many banks increasing their bank interest rates for saving deposit and loans, the development of SMEs is even more worring.While in the production run of SMEs, the need of short period floating capital is usually not large, this will not cause a serious problem to companies. The best lacks of the companies are the huge amount of money used in extended reproduction and upgrade of technology and equipment. From the actual situation of our nation, although there are many financing ways for SMEs, due to various reasons, none of them could solve the financial difficulties of SMEs. Thus, in order to resolve the problem, we need a new and refressing approach. According to the practical experience of developed countries such as America, finance leasing could alleviate the funding problem for SMEs. Compare with foreign counties, the finance leasing starts very late in our country. In the theoretical level, although the research of finance leasing in our country has made certain achievement, the systematically and deep research about financing leasing literature is still scarce. Most of the articles are just theoretically analyzing the benefits of finance leasing to companies, the existing problems and the solutions. There are few articles based on perspective of the companies, which employ the finance leasing, especially from the angle of SMEs. While in the western developed countries, due to many advantages such as sophisticated financial system, developed finance markets and sound legal regulation, the government's usage of finance leasing to solve the financing problem has achieved good results. Currently, some specialized finance leasing organizations for SMEs are formed in our country, but because of the national financial system are not strong enough, the financial market operation fails, the legal regulations are imperfect, and the SMEs's knowledge about finance leasing is not sufficient enough, the development of finance leasing in our country is far from ideal. Trying to relax the problem financing in SMEs from finance leasing aspect still needs more steps further.From the prospective of SMEs financing status and the development situation of financing leasing in our country, the potential that financing leasing in promoting economic development and alleviating the difficulty of SMEs' financing situation is great.This article is based on the current difficulty of SMEs'finacing in our nation, thus, I advocate that we should choose the appropriate way to solve the problem of SMEs financing in our country, and encouraging to use multiple financing channels to solve the problem. Also, at the same time, to solve the problem, depending on the effort of SMEs is not enough, the financing organization and government of our country should act actively to further improve the situation for SMEs financing. This article combined the comparative and logic analysis, described the general theory of financing leasing, and its special role in our SMEs development. In addition, this article also standing in the view of the lessee to analysis and study the possible risks and risk prevention in finance leasing, and then explained vividly in a case to demonstrate the feasibility of the finance leasing.This entry points to make life difficult for SME financing, encourages SMEs to adopt lease financing to solve the problem. Article studies by methods of logical analysis and comparative analysis. First, the logical analysis of the financing situation of SMEs, one's own retained earnings of SMEs are less and endogenous financing is inadequate. Second, the external financing channel is not smooth, the stock and bond financing have higher threshold, and most SMEs fail to issue standards of stock and bonds, the phenomenon of severe credit crunch for SMEs is serious, so the financing channels of foreign aid for SMEs is not very smooth. On the basis of this, make further analysis of the reasons of financing of SMEs, on the one hand, the scale of SMEs is very small, financial strength is weak, accounting systems is unsound, and lack of qualified audited financial statements, solvency and collateral capacity is low. On the other hand, the banks take the principle of prudence to loan by the security considerations; it is difficult for SMEs to go through the bank approval. Furthermore, the state is not enough to support SMEs; the laws about SMEs are very few, the lack of the specialized agencies of financing for SMEs. All these have seriously hampered the development of SMEs in China, in the old method of financing is not a good situation to solve this problem, we should actively explore new modes of financing.Based on this, article introduces a new type of financing-finance lease related presentations, finance lease is a mean that the lessor purchases or leases machinery and equipment required for use by the lessee, and the lessee pays the lease rent to get the right to use, the lessor has ownership of machinery and equipment. When the Lease expires, the lessee can choose to renew the lease, lease back or buy them by low price. From the definition, we can see that finance lease has two contracts:purchase and lease contracts, involving the lessor, the lessee and the supplier. In the financing lease, the ownership and use right of the subject matter of lease are separated, and the rent is regained by very long stage. In order to make financing leases healthy and stable development, we need the definition of accounting standards, protection of the laws and regulations, encouragement of tax and an appropriate regulatory. Then we analyze the status of development of domestic and foreign financial leasing. Overall the penetration of financing leases in foreign countries is increasing, but it increases slowly, sometimes stagnant in our country, the development of financial leasing is more twists and turns.Comparative analysis mainly includes finance lease and commercial credit, bank loans, trust leases and operating leases, it highlights the low threshold, the simple program and low cost of finance lease. And through case studies, paper further illustrates the feasibility of finance lease. This case takes Air Sanxin Co., Ltd. as the background, because it has a amount financial leasing every year, but in order to facilitate observation and comparison, the original data is replaced by an easy calculation data. The company planned to buy a vacuum coating production line, there were several options:using its own cash to buy, purchasing through a bank loan, and leasing through financial lease from the aircraft leasing company. Because the company's own capital were limited, so first 1 ruling out of the way of using its own cash to buy. In the choice of financial leases and bank loans, we take the present value of cost comparison method to calculate and analyze, list cash outflows each year in two ways by tabular form. We count the present value of the cost about the final finance leases and bank loans, the result show that the present value of finance lease cost is lower than the present value of the cost of bank loans, so choose the finance lease.Although there are many advantages of financial leasing, we cannot ignore its problems, this article analyze from the macro and micro aspects. From the macro aspect, government's support for SMEs is not enough, laws and regulations about financial lease and SMEs are very inadequate, related operations lack of guidelines in relevant laws and regulations, and the rights and obligations of the parties is not enough clarity. In the policy above, the lack of supporting tax policy, credit policy and insurance policies, these block the development of SMEs and financial lease. In addition, there is long lead regulatory phenomenon, the regulatory body's legal status and barriers to entry are different, so it easily leads to unequal treatment. In micro aspect, firstly, from the analysis of small and medium enterprises to start their own, poor awareness of financial lease is a very major problem, many SME managers pay attention to ownership and despise the right to use, and they prejudge the financial lease. On the other hand, small and medium enterprises in China are vulnerable, the state has some of its subsidies, and many small and medium enterprises thus have dependence, lack of independent courage and determination to solve the problem. Then, analyzes the problems in financial lease companies, one is that there is a small number and small scale in domestic, compared with foreign financial leasing companies, so it cannot be good service for SMEs. Second, the publicity is not enough; there is lack of reputation in the community. Third, the lack of professional personnel, it is said personnel is the key to development, but there is lack of incentive policies about personnel, leads to less specialize talents in financial field leases and cannot guarantee the development of the industry.According to the theoretical analysis and positive analysis, we can find that the development of financial leasing in the future of our country will be very great. Especially SMEs, by the way of financial leasing, they can advanced technology and equipment only by the small amounts of money, which effectively alleviate the financial pressure. I also based on both the macroscopic and microscopic aspects. From the macroscopic view, I suggest that we should establish a sound financing leasing related laws and regulations to define the obligations and benefits of companies concerned, in order to guarantee the smooth implementation of the financing leasing. At the same time, the government should provide more support and regulate efficiently implementation of the various tax incentives. In addition, it should standardize and improve the insurance policy and credit policy, in order to enabling SMEs to feel the tangible economic benefits of finance leasing. On one hand, SMEs have been developed under finance leasing; on the other hand, SMEs could popularize the method of financial leasing. These two will mutually developed and promoted.At present, the importance of SMEs has been widely recognized by the community, but the measures in supporting SMEs development are not complete enough. The government's main policy and capital lean to large scale enterprise, while biased to SMEs. In addition, the management quality of SMEs themselves is not high. The management methods and philosophy are very outdated and old-fashioned. They cannot accurately locate the development of small and medium enterprise, thus often lose the opportunity to develop. In the introduction of advanced technology equipment, the SMEs is stubbornly trying to get the ownership in order to get the title. They do not understand finance leasing and not willing to take this new and very beneficial method to SMEs. In this article, I first analyzed the severe current situation the SMEs are facing to demonstrate that in order for the SMEs to survive and develop, they should at first fully understand the philosophy of "necessity is the mother of invention" and they cannot blindly adhere to old methods, or excessively rely on the government support. They should recognize the problem inside themselves and the possible development opportunity. Next, I detailed described the finance leasing in the aspect of definition, characteristic and main form to make companies chose this method based on fully understanding.The purpose of this article is to solve the financing difficulties by the means of fiance leasing. I mainly analyzed the current financing difficulties of the SMEs and the reasons, detailed described the development of financing leasing in our country. I stressed the advantages of the finance leasing through comparison analysis and proposed to develop financing leasing. Although there are many advantages of financing leasing, we cannot ignore its problems. At the same time of choosing finance leasing, we should pay attention to avoid its possible risks and possible trouble. I hope that our government could increase their effort in supporting the finance leasing industry through laws and policies, to solve the financing difficulties of the SMEs by ensuring the healthy and stable development of finance leasing industry. I believe that through the combined effort of SMEs and government, the SMEs in our country will develop to a new level, in addition, the finance leasing will spread through our country. The shortages of this article includes:lack of innovation, theoretical analysis is not detailed enough. I just crudely talked about my own understanding and view of the financing leasing based on the research of previous scholars, just hoping to throw a sprat to catch a herring, which could cause a widespread concern in all sectors of society about the finance leasing in SMEs. I hope we could alleviate the fiance difficulty of SMEs in practical with the development of the finance leasing and more scholars' theoretically research in this problem. |
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