The Factors Of Business Financing In China

Relying on the Entrepreneur financing structure theory, the paper analyses what factors affect the internal financing, equity financing and debt financing of the Chinese listed company and finally comes up the viable solution for the business financing by comparing the similarities and differences of financing of companies on the main board and SMES(The small and medium-sized enterprises) board. It is divided into six chapters; The first chapter is referred to an introduction, which points out the content and significance of the paper and as well the research methods, and it also specifically tells the shortcomings and innovations of this article. The second is mainly related to the introduction of the research status at home and abroad and also about the brief analysis of the literature reviews so that readers can easily understand the research developments and trends of business financing. The third part mainly elaborates the definition and the types of corporate financing and combs the famous theories of financing structure in details, which can be the theoretical base of the factors affecting the financing. The fourth is the main part of the paper, which uses the data to do the empirical analysis of the factors for internal financing, debt financing and equity financing of listed companies of the main board and SMES(The small and medium-sized enterprises) board market and then does the comparisons of the two markets. Chapter V based on the comprehensive analysis of theory and empirical results, shows the financing problems of the current companies like low rate of endogenous financing for the whole, low debt financing of the companies on the smallcap market, excessive single debt structure and shortage of innovation capacities etc through the present financing situation. The last from the standpoint of corporations and the market provides the ideas of enhancement enterprises’own quality and innovation, acceleration the development of the bond market and the establishment of a multi-level capital market to build a harmonious financing environment as the solutions of Chinese corporation financing and makes a conclusion for the article at last.