The Research On The Operating Mechanism Innovation Of Micro-credit Company

During the development of the microfinance development in our country, micro-credit company is one of innovative results. It is the equilibrium among the government, the country's financial sector as well as business owners. Also it provides a new idea and possibility to solve the insufficient supply of rural finance problem. The central bank hopes micro-credit companies can standardize and guide the underground finance to sunlight, thus improving the rural financial market. For the local government, they hope that it can reach the goal of serving social objectives of the three rural, thus alleviating the current supply shortage of rural financial situation. For the sponsors of the activities, the operators pay more attention to the profits, thus hoping micro-credit companies can obtain the proof of identity, and even enter the formal financial sector to achieve sustained profitability in the future. As a result of the multi-objective driven, how to balance the service level of three rural and the finance benefits is an unavoidable problem for the micro-credit companies, i.e. the accounts of the social objectives and financial goals. How is micro-credit companies' operating results? What kind of mechanism can ensure micro-credit companies reach a specific population effectively and achieve financial benefits to maintain self-sustainable? In order to answer the above questions, this paper studied the mechanism innovation of micro-credit companies from the perspective of the social performance and financial performance coordination. Therefore, this study is of important theoretical and practical significance.This paper has five chapters. In the first chapter, it introduced the background and significance, research methods and content of the article. Basing on these, it provided research question. In the second chapter, this paper defined the concepts of microfinance at the beginning, including microcredit, micro-credit companies, micro-credit companies operating mechanism. Then it bases on the coordinate development between social performance and financial performance to establish the micro-credit companies' run mechanism framework from the macro, medium and micro levels. In the third chapter, it surveyed the current status of Gansu micro-credit companies' performance and analyzed the problems of the presence operating mechanism and causes. In the fourth chapter, it made a compared analysis with the international operating mechanism of three cases studies in order to learn successful experiences from them. In the fifth chapter, basing on perspective of the social performance and financial performance coordination, it put forwarded the mechanism innovation policies systematically form the macro, medium and micro levels to promote the micro-credit companies to service the "three rural" and reach the financial sustainability.