Resesrch On Micro-enterprise Financing Through Informal Financial Platform In China

A large number of Micro-enterprises could construct the most powerfulemployment platform, and they also is the barometer of Chinese economy and societystability and the most sensitive nerve endings. They play an irreplaceable role instimulating economy, increasing employment and technological innovation. But theFinancing predicament of these Micro-enterprises always be the vital factor to restricttheir development. Although, some finance services to the Micro-enterprises has beenprovided by our government resent years, the financing predicament still have notbeen solved. Specially, the persistence of monetary policy, monetary tightening madethe financing predicament of Micro-enterprises become more serious. Many otherMicro-enterprises turn to the private lending market for financing. Factually, the folkdebit and credit could alleviate the financing predicament, but the inherent defect andrisk of the folk debit and credit may create “usury” and “illegal fund-raising”, forinstance, the business owners “run away” event. The reality of the situation is thefunding gap and financing predicament should be indeed solved; and with the rapiddevelopment of economy, there is a large number of private capital in the folk (Thecentral bank announces our country folk credit and debit is3,800billion). The privatelending activity informs us a investment channels is needed for the private capital.Then could we combine the two situations to find a “win-win” way to solve thefinancing predicament of the Micro-enterprises and give a correct guidance to thelarge number of private capital in folk lending and debit?Based on such consideration, this article constructs a folk loan financingplatform as a new financing mechanism for Micro-enterprises from the perspective ofthe financing dilemma. On this platform, with the integrated private lenders, securityagencies and government and other members of the subject, we could establish andimprove the organizational structure and strict review mechanism. Member securedliability, guarantee system and risk reserve fund system could guarantee therealization of effective risk control, information collection on the platform, resourcesharing, risk control, policy guidance and other advantages. Then theMicro-enterprises could receive the policy support and financing services; and theprivate capital could get a correct guidance.