The Reasons And Supports Of Chinese SMEs’ Financial Problems

In2012,98%of total national enterprises are Small and Medium-sized Enterprises (SMEs),60%of our total output, and50%of the tax. SMEs are one of the important strength that promotes our national economy healthily and rapidly. SMEs play an irreplaceable role in flourishing our country market economy, expanding employment, protecting national technology, promoting export, promoting technical innovation and so on. However, a bottleneck of financing restricts the development of SMEs:limited own capital and profitability leads to the internal financing channels blocked; poor operation stability leads to be discriminated by big commercial banks; listing and debt financing is hard to carry. Although our government focuses on solving the problems in financing of SMEs in every way, there are still some significant problems.Throughout the world, financing problems are not our country’s exclusive economic problems, and many developed countries also exist the same problems, such as America, Japan, and Germany. Scholars at home and abroad all play an high attention to the development of SMEs, especially the financing problems. Due to the global financial crisis in2008, the financing environment of SMEs was worsening, and many enterprises faced bankruptcy. Folk financing was serious exposed by the media two years ago, which made people pay more attention to the financing ways of SMEs.This paper chose the financing problems of SMEs as research object. This paper will summarize the successful solutions of some developed countries and analyze the deep reason of SMEs’financing problems in our country in order to solve these problems. We should take multi-pronged approaches to solve these problems creatively. We can take the following measures to improve the financing environment of SMEs in our country:promote the strength of SMEs, set up long-term relations between banks and SMEs, set up an unified standardized credit system and guarantee system, create the ways of direct and indirect financing, standardize and guide the private capital market.