Financing Structure And R&D Investment Correlation In High-tech SME

In the rapid-developedenvironment, more and more countries begin to realize that science and technology are primary productive forces, and making the development of science and technology as the primary national strategy. As the main perpetrators of the R&D and innovation,the enterprise’s R&D investment is not only a key factor in determining the competitiveness of enterprises, but also has a very critical impact on the level of economic development and competitiveness of a country. High-tech SMEs are the most innovative small business vitality and innovation group, and the effective carrier of accelerating the transformation of scientific and technological innovation. All aspects of SMEs’ research and innovation are dependent on a lot of financial support. But lack of funds and financing channels has become the primary factor restricting the development of SMEs. The Ability to ensure adequate funding will largely affect SME technological innovation and its economic potential.Adequate R&D funding has become necessary prerequisite to achieve scientific and technological innovation. Due to the characteristics of their research and development activities, high-tech SMEs will be affected by many factors when making R&D investment decisions. Extensive literature studies from Domestic and abroad had studied the particular factor of various important source of funding for R&D investment. However, due to the short time of GEM’s establishment, the collection About SME’s data was difficult, previous literature about empirical research of R&D investment mainly regard the company of the main-board as the research object. And for the relationship between human capital and R&D investment is also a lack of in-depth study.This paper choose the SMEs listed in GEM between 2009-2010 as samples, and 2011-2013 as the time interval for the study. Starting from the structure of corporates’ finance related factors, this paper studies the overall financing structure’s influence on R&D investment by empirical test. And making a further analysis of the influence of corporate financing structure to R&D personnel investment. Finally making recommendations accordingly.