Research On Legal Issues About Financing For Small And Medium Internet Enterprise Through New Three Board

The Internet and its relevant industry-chain have deep impacted every aspects of our life.Since 2012,the concept of "Internet plus" was put forward,along with is the more and more attention is attracted by the development of the Internet business in China.However,the small and medium internet enterprises how to effectively use a variety of financing channels to obtain the appropriate funds has become the emphasis of the enterprise survival.Due to the asset light and high risks characteristics of Internet companies,the vast majority of small and medium internet enterprises showed negative cash flow situation.Therefore,equity financing is the only way.In this context,new-third board market is a very good choice.After the successful landing in the new three board market,small and medium Internet companies can achieve necessary capital to develop and operate,which could ease the financing difficulties of enterprises,financing problems through a variety of channels.And through the new third board market,the enterprise could promote the enterprise internal governance structure,improve corporate reputation and brand awareness,which could lay a good foundation for the day after the transfer of listing.Although the listing of the new three board market for small and medium sized Internet companies will have a negative impact on the information disclosure and the flow of talent,in general for small and medium enterprises there are more advantages than disadvantages.For the long-term development of small and medium sized Internet companies,landing new-third board is an effective measure to break through the bottleneck of enterprise development.However,in order to landing new-third board to finance,there are many law obstacles that the small and medium enterprises will face.This paper start from the enterprise life cycle theory and its financing need through empirical analysis method,along with the statistics and analysis about the data of the new third market.Then,the paper discussed the financing modes of the small and medium enterprises through new-third board by case analysis methods along with the legal difficulties,including exorbitant natural person investor standard,unperfected market maker system and unsound legal system of rotating plate.According this,research framework is established to seek solutions to the legal problems of small and medium enterprises in China new OTC market,combining theoretical knowledge with realistic data,especially successful experience of three mature OTC markets in the United States,Britain and Taiwan.The solutions includes lower natural person investor standard,conduct perfected market maker system and sound legal system of rotating plate.New three board market is indispensable way of to obtain financing for small and medium internet enterprises.Only the new three board system and small and medium-sized Internet companies achieve good cooperation and mutual promotion,small and medium sized internet enterprises could resolve financing difficulties smoothly in the new-third board market.Along with the more,better,and more convenient financing,which could be effective used in their own business operations.