Venture Capital,Social Capital And Corporate Financing Constraints

Small and medium-sized enterprises play an important role in alleviating employment pressure and promoting GDP growth.However,for a long time,the financing problem has blocked the development of SMEs.The financing problem is regarded as the bottleneck restricting its development.Countries gradually take venture capital as the main body to solve the financing constraints of high-tech enterprises.With the prominent role of venture capital,more and more scholars pay attention to the impact of venture capital on SMEs.Most of the existing researches focus on the role of venture capital in corporate governance,In terms of the role of venture capital ownership,Most scholars have shown that it helps to increase the operating performance and management level,thereby increasing the value of the invested enterprises.With regard to the study of venture capital and corporate financing constraints,Most of the existing literatures have indirectly obtained the role of venture capital in the financing of the invested enterprises,however there are few researches direct to it,what's more,there is no research on the mechanism of venture capital in mitigating financing constraints.This provides a new direction for this study.Venture capital is regarded as the "value-added" of the invested enterprises,in addition to providing funds to these enterprises,it will provide non capital value-added services.Scholars have made a full study on the value added services after investment,However,the existing studies do not sum up these value-added effects,In this paper,based on the stakeholders of the invested enterprises,the value added effect of venture capital is summed up to enhance the invested enterprises' social capital,this provides a new perspective.Venture capital plays a certain role in the financing of enterprises,and can increase the social capital of the invested enterprises,It has been shown that the corporate social capital,which includes the internal and external relations,can alleviate the financing constraints,Based on the relationship between venture capital,corporate social capital and financing constraints,this paper reveals the intermediary role of corporate social capital in mitorizing the financing constraints of venture capital.Firstly,this paper summarizes the relevant research at home and abroad,and analyzes the mechanism of venture capital to alleviate the financing constraints,selecting small and medium-sized listed companies as the research object,using principal component analysis to calculate the corporate social capital,using the cash-cash flow sensitivity model to measure the financing constraints.Then,conducting empirical test,the paper divides the sample into two groups,one group has the support of venture capital,and the other is a group without venture capital,to test and compare the degree of financing constraints of these two groups.Next,conducting empirical study on the effect of venture capital on corporate financing constraints,And then test the impact of the withdrawal of venture capital on the financing constraints of the invested enterprises,and then conduct empirical study on the impact of venture capital on corporate social capital,and the effect of corporate social capital on financing constraints,Finally,after controlling the impact of corporate social capital on corporate financing constraints,it tries to test the impact of venture capital on corporatefinancing constraints.The results of this study show that venture capital can effectively alleviate corporate financing constraints;venture capital as a "value-added" of invested enterprises to help enterprises increase the relationship capital with the various stakeholders,that is,corporate social capital;corporate social capital can effectively alleviate the financing constraints;venture capital alleviates the financing constraints of the invested enterprises by strengthening the social capital of the invested enterprises.