Study On The Influence Factors Of The Financing Of Small And Medium-sized Enterprises In China

Each country has increasingly concerned the important role of SMEs in the nationaleconomy, SMEs has played a huge role in promoting the economic development of a countryor region. SMEs develop rapidy since China’s reform and opening up, SMEs play animportant role in the economic prosperity, promoting innovation, job creation and so on.However, the importance of SMEs in the national economy is not commensurate with itsfinancing problem, which has become an obstacle for the development of SMEs like"bottleneck." So how to solve the problem of financing of SMEs encountered in thedevelopment process is currently a hot topic. The study of SMEs financing problems and findsolutions of financing difficulties of SMEs has great significance on promoting the healthygrowth of SMEs and the rapid development of China’s economic.This paper used empirical research and standardized method, systematic reviewed ofrelevant theory and research literature on SME financing, Analysed the current situation andexisting problems of SMEs financing, taking Shenzhen SME board listed617SMEs as asample in three consecutive years from2011to2013, Study the factors affecting financing ofSMEs using fixed effects model based on the theoretical analysis, Carry on factors affectingSME financing descriptive statistical analysis and variance inflation factor test, And furtheranalysis the factors affecting SME financing.Results of this study showed that:Size of enterprises, corporate growth, corporate asset management, asset value guarantees provided by the enterprise all passed model significant test and is positively correlated with corporate financing capacity; Corporate profitability, theability of withstand the risk and the level of accumulation of corporate is also passed modelsignificant test and negatively correlated with corporate financing capacity; Their marketcompetitiveness in the significant test of the model does not pass the test, and does not matchwith the theoretical assumptions; At the same time, We found financing channels is scarcityfor SMEs in the empirical study and a strong dependence on the credit funds of SMEsfinancing. Combined with research findings analyzed the reasons of SME financing problems and proposed approach on enhancing SMEs financing ability.This paper studies the factors affecting SMEs financing; which is helpful on solving theproblem of financing in the development of SMEs and promoting the healthy development ofChina’s SMEs; Also helpful to further improve our SMEs financing framework and also playacatalyticroleonpromotingthehealthydevelopmentofChina’s economy, easingemployment pressure, maintaining social stability.