The Research On The Influencing Factors And Countermeasures Of Financing Capacity Of China’s Bio-industry

The rapid development of bio-industry and the increasing global competition, making it the focus of the domestic and foreign governments, the academia, the industry, even the whole world. Thus, bio-industry occupies an increasingly important position in the high-tech industry. Due to the particular stages of growth and development patterns of the bio-industrial SMEs, financing problem is the commonly issue in the bio-industry development. In addition, China has not established the financing mechanisms and systems which adapt to the growth phase of bio-industrial SMEs, therefore, many scientific achievements proved an abortion because of funding shortfalls, directly leading to a low transformation rate in the scientific research.First of all, this thesis elaborates some related contents of bio-industrial financing, finding that the bio-industry are coupled with investments, incomes, high risk, long periods, these characteristics determine that the financial support is inseparable for its rapid development. The summarization of the basic financing theory foreshadows the empirical research behind. Chapter 3 based on the analysis of the development and financing status, summed up the characteristics of the bio-industry financing in China: the narrow financing channels, different periods have different characteristics.In this paper, the financing capacity of bio-industry is divided into the external and internal fund-raising ability, analyzing the factors of the external and internal fund-raising ability, combined with the preceding theories, trying to build the bio-industry financing model of influencing factors, followed by the empirical research. The empirical results suggest that the influential factors of bio-industry financing capacity of China are listed as follows, the scale, the debt-paying ability, the earning power, internal accumulated capacity, mortgage capacity, the research and development personnel proportion and the management risks. America and Indian’s bio-industry financing with its fastest and healthiest development of this industry have been taken as an illustrative example, only to find that the strong government support and the perfect capital market are a prerequisite for the development of the bio-industry.Based on the above analysis in various aspects, with the combination of the specific phenomenon of the bio-industry in China, we concluded some suggestions to promote China’s bio-industry financing, which includes improving the enterprises’ qualities, broadening the diversity of financing channels, the support and guiding of the government.