Study On Sustainable Development Of China's Small Loan Companies

For a long time,to solve the micro-enterprises and the "three rural"financing difficulties,our state actively supports the development of small and medium-sized financial institutions as well as private financial institutions,expands financing channels,standardizes and guides the private financing,thus the micro-finance industry undergoes a steady and fast growth.By the end of 2016,there is 8673 micro-finance companies and the outstanding loan is 927.3 billion yuan in our country.Micro-finance companies spread all over the country's major counties and towns,which become an important part of social financing.Micro-finance companies shoulder the mission of guiding private financing to be more standardized and play an significant role in the development of local real economy.In this paper,Three New Board Listed Companies are taken as the object to research the sustainable development of small loan companies in our country.Firstly,we find out the problems existing in the sustainable development of small loan companies in China by reviewing the literature of sustainable development of micro-finance companies at domestic and overseas.Secondly,based on the theory of sustainable development of micro-finance companies as well as diamond theory,combining with the development status of micro-finance companies,this paper use SWOT analysis method to analyze the advantages,disadvantages,potential opportunities,threats of small loan companies in China.Meanwhile,this paper evaluated the sustainability of micro-finance companies from four aspects:institutional sustainability,organizational sustainability,sustainability of services and financial sustainability.Finally,this paper puts forward some suggestions on the sustainable development of micro-finance companies from the aspects of external environment,company management and business operation.