Research On Financing Problems Of Smes In China At The Present Stage

The small and medium-sized enterprise is an important part of the national economy, small but excellent enterprise is one of the important cornerstone of modern production in China. If there is no high quality of small enterprise,it is difficult to form high quality of large enterprise. If the lack of small but excellent enterprise as a foundation, it is difficult for the professional level of large enterprises to get promoted, it is also hard to improve the industrial level. And the malfunction of structure transformation will be formed too. At the same time the three development strategy steps of completing the modernization will slow down. The number of small and medium-sized enterprises(SMEs) is becoming numerous and advancing rapidly since the Chinese economic system has been reformed, not only did it create jobs for unemployed people and bring great wealth for our society, but also it had made outstanding contributions for Chinese economic development.However, as with most countries and regions in the world, the financing difficulties of SMEs is an indisputable fact. Our country has not yet formed a perfect and effective social market economic system or achieved the optimal allocation of resources, which is in the process of reform. It has always attached great importance to the construction and development of large enterprises, small and medium-sized enterprises(smes) are often be despised or neglected. For a long time, insufficient funds are always a stumbling block to the development of small and medium-sized enterprises.Especially, the world economy is generally depressed, aftermath the U.S. financial crisis in recent years. To protect the domestic economy from harm, the Chinese government using banks to take the lead stimulus, so that in the last four years our credit market is expanding fast. It is rather worse to SMEs that the original funds are very scarce. Affected by financial crisis, bank lending standards are more strict, and pawn is undervalued, SMEs loan ability is weakened. The arrival of Chinese banking money shortage in 2013, it was a blow to SMEs financing, the Chinese financial market became severe cash-strapped state and bank funds announced emergency. In order to raise funds, the bank do not hesitate to improve the return on investment products and increase loan threshold. Because of capital chain rupture, the private Small and medium-sized enterprises appear crisis, or even bankruptcy. Therefore, it is the financing problem to solve the small and medium-sized enterprise which has become one of the important subjects in Chinese economic development road. Currently.There is a lot of literature for the SMEs financing problem and countermeasure research,but most of that is based on the surface analysis which lack in-deepth discussion. In this paper, it is based on the MM theory, Marx’s credit theory, credit rationing theory, enterprise financial growth cycle theory, etc. By visiting and investigation,we research the results at home and abroad for reference, for SMEs financing difficulties since the financial crisis in China detailed and in-depth analysis. In order to fully understand SMEs financing status,, this paper defined the concept for SMEs, and then pointed out the role of SMEs in national economy, and indicated that SMEs are not only the main driving force of national economy sustainable development, it also has played a huge role in increasing employment, innovation, technology. However, the financing difficulties became the bottleneck of restricting in the process of the small and medium-sized enterprises growing development. It mainly reflects in several aspects :it is single to finance channel of SMEs, which is mainly endogenous financing. There is less access to credit to support it; SMEs credit activities "polarization" obvious; folk financing is Limited and financing cost is high. The paper based on the factor analysis of small and medium-sized enterprises financing problem when using factor analysis method and the method of combining the macroscopic and microscopic analysis. Micro Angle to small businesses from its own analysis, it find out the problems existing in the enterprise itself such as backward management mode, the credit system is imperfect, and so on. It analyz financial institutions in the small and medium-sized enterprise financing problems by Macro Angle, such as bank loans difficult, underdeveloped capital market, and so on. The government aspect is mainly to small and medium-sized enterprises to support that is not enough, and the relevant laws and regulations are lack of financing for small and medium enterprises and so on. To solve the problem of the financing difficulties of small and medium-sized enterprises, in this paper, first of all, SMEs not only should improve the system of enterprise, strengthen internal management, strengthening credit concept, but also to cultivate high quality talents for the enterprise,and then financial institutions to broaden the financing,channels, increasing the investment of angel investment market, and financial development of the P2 P, etc. finally, the government need to increase the intensity of support, make the perfect relevant laws and regulations, and increase small and medium-sized enterprises internationalization level and so on.