| Since 1990s, small and medium-sized enterprise(SMEs) has become a vital dri ving force to promote market economy and economy growth in China. It becomes more and more well-known and plays a more and more important role in boosting economy growth, expanding labor employment, promoting technique improvement and creating social wealth.However, the SMEs also face many challenges and problems in the process of growth."bottle-neck"resulting from the unavailable financial aid in the growth of SMEs has increased the financial pressure that SMEs confront with."small amount", "Frequency of use", "time sensitiveness" are the characteristics of the capital that SMEs raised. Banks give SMEs the financial support, which means bridging the "financial gap"after they discussed how to meet growth of SMEs from differe nt stage.SMEs in our country is enormous, various, and getting an unbalanced region development. Only by carrying on one or two policies, we cannot overcome th e "difficulties in financing". To solve the problems fundamentally, we need to do a system study on the development theory of China’s SMEs and corporate s tructural financing theary, analysis meticulously on financing status of SMEs, effe ctively learn advanced experience from foreign countries, so as to find out the i nternal rules between SMEs growth and financing aid. This paper started with thi s field, trying best to improve our country’s financing situation on SMEs.The SMEs"bottleneck"reflects the restraints of the financing costs, the capital a vailability,the capital amount and capital supply in time and capital contract condit ion. In order to cut down the capital gain costs and to promote the investment rev enue, we should use different financial tools in accord with the different stages in the SMEs life cycle. The methods we analyzed as follow:firstly, set-up. In this s tage, the capitals gain mainly from private capital market and business angel. A 1 ot of SMEs prefer this style to get financing because this method meets their capit al need in time even though capital cost is is much higher than any other way. Se condly, from set-up stage to survival and developing stage. The major financing t ool for SMEs is venture capital investment. In terms of venture capital, the high risk of investment makes it require higher investment revenue in a short time. This means, to most SMEs their capital will be rejected. On the contrary, small and medium-commercial banks or small and medium-financial organization have a lot o f advantages when they are dealing with SMEs, such as capital scale advantage, in formation advantage, supervision advantage etc. For this reason, we must develop commercial banks and small and medium-financial organization to meet SMEs need s. Thirdly, from SMEs life cycle, we know that the advanced financing system is t o get the capital support from normal capital market directly. It includes equity fin ancing and debts financing, but to our normal capital marked at present, many s trict roles such as higher scale and higher investment revenue had made it difficult for SMEs to enter the capital market because of theirs small capital scale and lo wer capital revenue rate."financial gap" is the product of marked failure. It brings the net loss of soci al welfare. In order to avoid the market failure, the government should offer some "public products" to avert converse choice and moral hazard which originated fro m information asymmetry so that the financial institution can decrease the loan ris k. For example, the industry polices regulation, finance and regular support, laws r egulation guarantee system establishment and social service system supply. The mo st important thing we must do now is to create a multi-financing system to suppor t SMEs such as develop private market, set up small and medium-sized financial o rganization and promote SMEs credit or guarantee system... |
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