The Research Of Private Equity Fund Impact On The Development Of SMEs In China

SMEs is an important part of socialist market economy in our country, play animportant role in the active economy, employment, however, for a long time noteffectively solve the financing difficult problem always. Proved by bank indirectfinancing as the main body can only part of the solution,. In today’s global economicintegration, experience has shown that by abroad and in China this year as a financialinnovation products of private equity funds can improve this problem very well.Therefore, the study of the impact of private equity funds for SMEs, to solve theproblem of SMEs financing and promoting the development of SMEs are of greatsignificance.In this paper, on the basis of comprehensive analysis and research at home and abroad,combining the reality of our country, the use of the western economics related theory.From the perspective of the micro, meso and macro analysis of the private equity fundeconomic function, Through the association of private equity funds and SMEs gameanalysis, it is concluded that the participation of private equity funds to improve therelationship between SMEs governance mechanism, and promote the sustainabledevelopment of SMEs, maintaining a fair trading mechanism of society. Finally, theinfluence of private equity fund for SMEs empirical research to verify the correctness ofthe theoretical analysis and empirical research around earnings performance and in theprocess of IPO underpricing rate is the two centres, using the method of descriptiveanalysis and multiple regression analysis, confirmed that private equity funds inimproving business performance, role in promoting the development of SMEs on theconclusions on improving the environment for private equity funds and promote thedevelopment of SMEs given reasonable proposal.