Study On New Model Of Financing For SMEs

Small and Medium Enterprises (SMEs) play a decisive role in our economy society, make particularly prominent contribution to solving the urban and rural employment, technological innovation of products and increasing the government revenue, and they’re important driving forces to promote China’s economic growth. However, SMEs face long-term financing difficult problems in the traditional model of financing, impeding the healthy development of SMEs. In this paper, we studied the situation of development and financing of SMEs, analyzed the main reasons of financing difficult problems of SMEs, induced innovation experience of home and abroad financing service model, proposed a new service model of financing to solve the problem of SMEs financing.Firstly, through research, we know that bank loans as the preferred financing channels of SMEs are not readily available and cost high. Information Asymmetry between banks and SMEs makes it difficult to collect information, control risk and cost in the SMEs financing services. Solving the problem of SMEs financing should start from these "Three Problems".Secondly, through the case analysis, we studied the innovation and limitation of the Industry Chain Financing Model and the Internet Financing Model. By drawing lessons from information collection, risk assessment, scale operation experience of abroad "Credit Loan Factory" and "Network Bank" model, this paper proposes a new service model of financing of SMEs, which is the construction of Network Platform for Financing Service to SMEs.Thirdly, we elaborated the way of construction of the Network Platform for Financing Service to SMEs. The Network Platform for Financing Service to SMEs makes the basic information database, credit rating information database of SMEs as the foundation, constructs SMEs financing service website. Through the operating system of information sharing, credit evaluation, financing matching, risk assessment, financing supervision, the government departments, financial institutions, SMEs and intermediary agencies will be linked. Then we have the establishment of SME credit system, full control of credit risk, reduce the financing cost, and ease the financing difficulties of SMEs. This paper also introduced the operating mechanism, risk control model and the participants’return model of the Network Platform for Financing Service to SMEs.Finally, through comparative analysis, we know that the Network Platform for Financing Service to SMEs has business model innovation, network model innovation, enterprise system innovation, operation mechanism innovation. And through quantitative analysis, we verify the Network Platform for Financing Service to SMEs alleviates information asymmetry through increasing corporate default cost, obtaining the enterprise credit information, building risk fund, achieving economies of scale, helps low risk enterprises to get loans, and the Network Platform for Financing Service to SMEs improves social welfare.