Research On The Financial Strategy Of Chinese Tech-SMEs Based On Life Cycle

Promoting economic development by technology has become the theme of China's current development.Tech-SMEs are important force,but their development often limited by “financial difficult”.From the perspective of enterprise life cycle to solve this problem is a good idea.By analyzing the enterprises characteristics,financing needs,and financing situation of tech-SMEs in different life cycle stage,we will put forward practical,dynamic,developmental financing strategies.Through literature review and research,we knew the current research status of life cycle theory and tech-SMEs financing,and determined the division method of life cycle and the evaluation method of financing efficiency.After that,we made a systematic presentation of new financing models of tech-SMEs,including the internet financing,intellectual property pledge financing,VC/PE financing,group financing and supply chain financing.Next,through evaluating the tech-SMEs' financing efficiency by date development analysis,we got a clear understanding of tech-SMEs financing characteristics and differences in start-up period,growth period,maturity period and recession period.Then,we put forward tech-SMEs' financing strategies for different life cycle.Finally,we pointed out the shortcomings and future research directions of this area.This study combined qualitative and quantitative research method and came to a conclusion.Start-up tech-SMEs should survive first,overcome dilemma by internet financing and group financing,increase financing methods,and make a long-term financing plan and consideration.Growing tech-SMEs should improve the level of management by financing,design an excellent proportion of equity financing and debt financing,and lay a good financing foundation for future.Mature tech-SMEs should focus on improving finance using efficiency,increase output of unit funds,and make preparation for new life cycle by promoting enterprise transformation and change.Recession enterprises should take defensive financing strategy,get internal financing by selling and divestitures,improve asset quality to get the opportunity to rebirth.