Research On Financing Constraints On Small And Medium Sized Enterprises

Generally,capital is the base of the enterprise,because in the start-up stage,development stage and mature stage,they all have to input and maintain a certain amount of capital as the precondition.Besides company’s equity fund,the only way to develop is seeking for the help of external financing.However,at present,more than half of the small and medium-sized enterprises in our country face financing problem,lacking effective financing cannels.With the ―push Internet plus financial‖ trend,Internet will generate more advantages in solving the financing of small and medium-sized enterprises.Firstly,to provide adequate funding for SMEs through the multi-channel aggregation of capital;secondly,through information technology to support SMEs to achieve rapid financing;finally through the platform to reduce the financing threshold of SMEs financing.Internet financial development has contributed to the rational allocation of private funds to make up for the lack of financial institutions,providing a new insight in ease the financing constraints of SMEs.The focus of internet bank in the future is on the service of small and micro enterprises and tring to promote inclusive Finance to process.From the macro point of view,Internet is committed to ease the financial difficulties of SMEs in response to national call,in order to meet the market demand and supplement to the financial sector.Based on the data of SME board and GEM listed companies,this paper empirically verifies the rapid Internet financial development effects on the financing limitations of small and medium-sized enterprises,results showing that even theses type of companies public on the small and medium-sized plate or gem listing still showed a significant investment-cash flow sensitivity and the positive role of alleviating this restriction was overestimated.After the introduction of the Internet financial variables,the enterprise investment-cash flow sensitivity decreased dramatically,thus the development of the Internet financial actually to reduce the positive role of small and medium-sized enterprise financing constraints,and further proves that the development of the Internet finance on relieving same size private and highly leveraged firms is more obvious.