The Research Of Optimizing The Main Financing Channels Of Wenzhou SMEs

Since the reform and opening up, with the reforming of market, China’s small and medium enterprises has been considerable development with its own advantages and flexible development, which gradually play an increasingly important role in developing China’s economic, solving employment problem and stimulating regional development. But there are many problems in the way of developing,because of the prevalence of small-scale, accounting systems, and the problem of asymmetric information, in addition to these, credit rating and guarantee system is not perfect, government support for the Wenzhou SME policy is not enough, the lack of diversified financing channels, which makes the financing problems of SMEs facing great challenges. Wenzhou is the forefront of the development of SMEs, the Wenzhou SME is a typical representative of SMEs in China, since2011, the phenomenon that SME owners "run away" is prevailing, especially in Wenzhou, which indicates that it is high time to solve the problem of financing SMEs in Wenzhou.In this paper, by using literature research and the combining method of quantitative and qualitative, at first the basic definition of SMEs is defined, and the status of the current situation and development financing channels for SMEs in Wenzhou are described, Wenzhou SMEs depend on endogenous financing, bank loans and private financing, on the basis of this, we analysis these three financing channels’efficiency by fuzzy analysis method, and we can make conclusion that endogenous financing has the highest efficiency, and bank loan the next, and private financing the last. What’s more, we know there are five factors of financing efficiency, including the standardization of financing, costs, timeliness, security, and degree of freedom. Then we give an analysis on problems of those three financing channels. Based on this analysis, I describe reasons Wenzhou SME financing difficulties from the international and domestic policies, enterprises, markets aspects. Finally, this paper focuses on proposing optimization measures of the financing channels for SMEs in Wenzhou City, including improve the ability of the source of financing of SMEs in Wenzhou, the formal financial institutions to strengthen the support, and standardize and improve private financing. This paper focuses on the characteristics of Wenzhou financial markets, combining with China SME financing issues, which leads to that issues raised with a certain universality and particularity and suggestions put forward with a certain practicality, which aims at easing the financing difficulities of SMEs in Wenzhou and there is a certain significance on choosing financing channels.