The Research On Financial Support Of Bank Of China Chenzhou Branch For Local SMEs

At present, Small and Medium Enterprises (SMEs) have become one of the most active force of the national economic development. The SMEs play a pivotal role as the engine of our economy and propulsion in the economic and social development in China. At the same time, enormous pressure concerning profits will lead the commercial banks to have to face the small and medium enterprises, developing the potential SMEs customers in order to make it as a new growth point of profit.Bank of China Chenzhou Branch guides the operators to further refine and improve financial services for SMEs in aim to implement the operation strategy for the development of SMEs designed by Bank of China, Hunan Branch. On the one hand the SMEs have a large demand for capital, on the other hand Bank of China Chenzhou Branch has to consider the credit risk of SMEs. How Bank of China Chenzhou Branch better financially supports the local SMEs has a great meaning for the development of local SMEs and the growth of Bank of China as well.Based on the review of SMEs financial support literature, the current circumstances of the funding needs and finance of SMEs are analyzed first. The difficult situation and kinds of factors that have impact on the problems have also been discussed; then combining the overall conditions of SMEs finance market and the business development of SMEs in Chenzhou Branch of Bank of China, we explore the reasons that caused the financial difficulty of SEMs in Chenzhou and the risk that Chenzhou Branch of Bank of China confront when financially support the SMEs, then considering the successful SMEs finance cases both in China and abroad, we propose the SMEs business strategies of selecting target markets, financial products, organization structure design and marketing. The research indicates that the SMEs have a large demand for capital in Chenzhou, while Chenzhou Branch of Bank of China also confront relatively higher credit risk; but through the BPR, the risks come from inside and outside would be well controlled, the business for SMEs would be expanded, which are beneficial for the further development of Chenzhou Branch of Bank of China.