Financing Analysis And Policy Proposals Of SMEs In Liaoning Province

SMEs play an indispensable and irreplaceable role in the employment, promotion of technological innovation, increasing revenue, and improving the coordinated development of regional economy. SMEs are the important part of our national economy. However, SMEs are faced with many difficulties. Capital problem is one of important questions. Money is very important for the development of enterprises and the enterprises which are lack of funds will not be able to grow and develop, and sometimes even the production and management can not continue. The shortage of funds restricts the development of SMEs. Financing has become one of the bottlenecks which SMEs need to break through. With the development of the Wenzhou financial reform, the financing of SMEs becomes a hotter topic. SMEs in Liaoning Province are less developed, and the shortage of funds and financing dilemma is particularly conspicuous.There is a lot of researches presenting situation and the financing problems of Chinese SMEs at present while there is few researches presenting situation and the financing problems of SMEs in Liaoning Province. Most of studies are focus on the analysis of Liaoning province’s status, but a few of studies are about the comparison of SMEs between Liaoning province and developed provinces. Based on the analysis of the development and the fund shortage of SMEs in Liaoning Province, it finds that SMEs in Liaoning province have achieved certain development, but still lag behind in developed area. At the same time, the fund shortage is severe. It is necessary to further analyze the financing situation of SMEs in Liaoning province.When analyzing the financing status of SMEs in Liaoning Province, this paper starts from the financing ways, financing structure and financing cost. According to the analysis of financing status, it finds that there are some financing problems, such as the single way of financing, irrational financing structure and high financing cost. And the underlying reasons not only include internal reasons, but also external reasons. In addition, the article also analyzes the financing situation of Dalian Huarui Heavy Industry Group Co.,ltd. and puts forward the financing revelations. Finally, aiming at the reasons which lead to financing problems of SMEs, it puts forward policy proposals from the perspective of government agencies, financial institutions, intermediaries and SMEs.