| Bank loan、stock and bond are main principle financing modes.At the beginning of Reform and opening up,bank loan was the most important financing mode for enterprise of China.In 1990,Shanghai and Shenzhen Stock Exchanges were established,since then equity financing gradually became important financing mode for companies with high quality.However,by 2008,corporate bond market of China was lagging behind.Corporate bond market of China began to develop rapidly from about 2008.At the end of 2016,bond financing consists of one third of long term debt financing for non-financial companies.On the other hand,SME financing difficulties has always been the focus of governments and economists.While traditionally corporate bond was not considered as effective solution for SME financing difficulties.The practice of China corporate bond market indicates that rapid development of corporate bond market of China not only enrich financing mode for big companies,but also helps to solve the SME financing difficulties in different ways besides lower financing cost,such as strengthening financial management,strengthening information disclosure and so on.This essay will analyze a real case of bond financing,and discuss the bond financing of Small And Medium Enterprises and how does corporate bond market help to solve the SME financing difficulties from a more practical perspective. |
