Research On The Influencing Factors Of The Financing Efficiency Of Internet Private Equity Financing In China

As an important part of the market economy,small and medium enterprises provide a vital driving force for the development and growth of China’s economy,as well as for China’s scientific and technological progress.However,high financing risk,insufficient financing guarantee and other risk issues make it tough for the small and medium-sized enterprises to obtain indirect financing through banks and other financial intermediaries.To a large extent,this has restricted the development for these companies.With the help of Internet banking,Internet private equity financing reduce the project financing requirements and make it more convenient and faster for small and medium-sized enterprises to get financing service,thus becoming an important option to solve the financing problem for these companies.Meanwhile,it can help stimulate technology innovation and refine multi-level capital market.Also,study on the influencing factors can help enterprises who finance through the Internet private equity financing platform better improve their projects and projects’ attractiveness.Therefore,it has the practical significance for small and medium-sized enterprises to broaden financing channel and improve financing effectiveness.Base on Internet private financing,this paper first concludes the relevant concepts of the Internet private equity financing,private equity financing efficiency and related theories.Then,through information theory and trust-building mechanism,it defines the initial influencing factors.By means of ELM model,the paper classifies those factors.In addition,when applying Lasso regression model to analysis of relevant influencing effects for the variables,the empirical paper shows that the investing proportion of the leading investors,the number of shares given out,the number of projects added to favorites,the education background of the project founder and the number of people successfully invested have significantly affected the completion rate of investment(i.e.the efficiency of financing)at different levels of significance.The last is the conclusion of this paper.According to the empirical results,the paper gives recommendations to the related party-the financing side,the investment side,the project platform.