Analysis Of Financing Predicament Of The Medium-sized And Small Enterprises In Our Country

The medium-sized and small enterprises refer to enterprises whose scales of employees、assets and management are smaller than big enterprises in the same industry. Compare with the big enterprises, The medium-sized and small enterprises have so many advantages such as flexible modes of business operation, cheap cost, and so on, that they can adapt to the changeable modern market and the diverse consumer demand. The medium-sized and small enterprises have become a driving force for the economic growth of our country and played an important part in innovation of technology, adjustments in industrial structure, development of regional economies, employment of surplus rural laborer and so on. This article studies financing condition of the medium-sized and small enterprises, and points out that there are many problems in the medium-sized and small enterprises’ financing. They have few financing channels, expensive costs for financing and imbalance supplying capital structures. Financial strain has become the bottlenecks to most of the medium-sized and small enterprises and has impeded their normal businesses. Then this article analyzes the reasons for financing dilemma of medium-sized and small enterprises from three aspects.The medium-sized and small enterprises have poor credit, irregular management and poor competitive forces. They cannot offer valuable guarantee so that they can hardly get loans from banks. On the other hand, banks pay more attentions to the big enterprises because of our government’s policy orientation. Credit assurance system and special banking system in our country still need to be established and improved. Based on the above analysis, the article gives the countermeasures. The medium-sized and small enterprises should establish modern enterprises management system, promote industrial structure and accumulate circulating funds. Financing channels of the medium-sized and small enterprises should be enlarged. Credit assurance system and special banking system should be established. And the government need to make policies to develop bond market, second board and personal property financing. Financing dilemma of medium-sized and small enterprises can be solved if the medium-sized and small enterprises, banking system and our government all play their part well.