Research On The Problem Of Private Equity Financing Of Technology Based SMES

Recently the speed of Chinese Technology Based SMES is gradually accelerated, its size is increasing continuously, and its contribution of national economy is also increasingly, therefore it gain a wildly attention by the government, commercial bank, capital market participant as well as foreigner scholars and so on. But along with the development of the Chinese Technology Based SMES, the existing problems are gradually revealed, among it the financing difficulty has become the main obstacle to its further development. Due to the special development nature of the Technology Based SMES, traditional bank loans and the listed financing mode is hard to full-fill its demand for funds, so it comes the new financing mode such as Private Equity mode and methods. Private Equity Financing mode can not only meet the long-term, sustained funds demand of Technology Based SMES, but also beneficial to improve the internal mechanism of enterprises.Firstly, the paper tease several theories of the Technology Based SMES, and compare the present between domestic and foreign Technology Based SMES Private Equity financing, and analysis the necessity and feasibility about the Technology Based SMES Private Equity financing, points out that the policy environment and plight that existing of Private Equity financing to the Technology Based SMES; Secondly, the paper analysis the positive effect of Technology Based SMES Private Equity financing from the enterprise development characteristics, enterprise life cycle, corporate governance and the value of the company, and through the 100 listed Technology Based SMES of 8 different industries, pick its Private Equity accounting, corporate earnings per share, company size, asset liability ratio and ROE(return on equity) as indicators for empirical analysis, it shows that the proportion of Private Equity and corporation earnings per share has a positive role in promoting the development of Technology Based SMES, but the assert liability ratio and the scale of the enterprise as the enterprise is in its mature period reason has a negative effect on the enterprise performance; Finally, according to the empirical results, the paper put forward to improve the current situation of the Technology Based SMES Private Equity Financing from the government, Private Equity and the Technology Based SMES perspective.To sum up, Chinese SMES has an unlimited potential for development, but the facing funding bottlenecks cannot effectively be solved, The Private Equity to be just unfolding in developing in our country. But from the support of the politics, legal environment, investment institutions management and the aspect of existence, it contains a series of problems. How to find out the crux of the problem and solutions, is the starting point of this study and the end result.