Research On The Legislation Problems Of Domestic Micro-Loan Company

As we all know, there are so many Small and Medium-sized Enterprises in our country. They need a lot of financial support when they are developing. But their financing difficulties still have not been solved because of the discrimination of banks and other formal finance agencies and unbalanced configuration of financial resources. On the other hand, a lot of private funds become so active in the gray underground financial area which is out of the control of the government because they can’t go into the formal finance market. That will seriously threaten the finance security of our country. Since the experimental work in2008, domestic micro-loan companies have been developing with a high speed. They solve the financing difficulties of Small and Medium-sized Enterprises by absorbing a lot of disordered private funds. Micro-loan companies can make up the deficiencies of the current financial system. They are significant to promoting the development of the non-public sector of the economy and regulating the private lending. However, the relevant legislation has not been perfect so far. The mainly problems are:the legislation level is too low; the legal status is not clear; the risk prevention and legal supervision system of management are not perfect. So now we need to find out the relevant problems and build a suitable legal system to dispel the defect of the legislation.This article tries to expound a series of the problems about the legislation of the micro-loan company through simple terms by the comparison-analysis method and history-analysis method, and then propose some suggestions and countermeasures to solve those problems. This article firstly explains the conception and the feature of the micro.loan company and analysis its differences with other finance agencies. Secondly it analyses the present situation of the legislation and points out the defects to find the reason of the problems in legislation. After that, it introduces some abroad legislation experience provide some suggestions for the legislation of domestic micro-loan company. In the end, it gives some ways about how to make the legislation perfect to make domestic micro-loan companies develop better and serve for domestic finance market better.