Case Study Of A Company's "Financial Service Center Model" To Solve The Financing Problem Of Small And Micro Enterprises

Small and micro enterprises are an important role in the national economic arena of China,and are widely distributed in various regions.It plays an unparalleled role in solving regional employment,increasing fiscal revenue,and enhancing the vitality of economic development.However,the lack of funds in most small and micro enterprises has become an important obstacle to their long-term development.From the inside,small and micro enterprises have small production scale,lack of asset reserves,and the company's management mechanism and financial management system are usually imperfect,and information disclosure is insufficient.Such potential self-defects make it difficult for small and micro enterprises to provide effective quality and collateral when apply for a load from traditional financial institutions.Information asymmetry is evident between enterprises and financing institutions,and the credit evaluation of small and micro enterprises is affected.From the outside,the external financing of small and micro enterprises in China mainly lies in commercial bank loans.However,banks always give the load priority to large and medium-sized enterprises with good qualifications for the sake of operational safety and maximize covering the risk of loans,small and micro enterprises with relatively poor qualifications often face strict loan review and higher loan interest.Other financing methods such as equity financing require a more professional assessment and operational process,great time consumption and extremely high cost not only exceed the tolerance of small and micro enterprises,but also contrary to the characteristics of “short,frequent and urgent” capital requirements,the actual operation is difficult.In addition,the government's help is not sufficient,the credit information system is imperfect,and so on.the financing problems of small and micro enterprises are highlighted.In recent years,the financing difficulties of small and micro enterprises have caused extensive concern.The party,the government and relevant ministries and commissions have successively issued a series of work guidance opinions,Emphasis on resolving the financing problem of small and micro enterprises requires more participants and more innovation.This paper firstly uses the literature research method to summarize and sort out the scholars' viewpoints and related theories on the current situation of small and micro enterprises financing,the causes and solutions of the problems.At the same time,combined with the comparative analysis method,compared the advantages of Internet finance with traditional finance in the financing of small and micro enterprises.Then,through the combination of quantitative and qualitative analysis,the basic situation and actual relevant data of Company A are introduced to summarize the operational capability and operational characteristics of Company A and its Internet financial platform.Finally,use the case analysis method to analyzes the comprehensive benefits and defects of this Internet financial innovation model initiated by Company A for small and micro enterprise financing----"Financial Service Center Model",and supple subsequent improvements.Based on the characteristics of the small and micro enterprise financing and the current situation,this paper combines the characteristics of traditional financial and internet finance in the development of small and micro enterprise financing business.Internet finance relies on big data technology to collect and match massive information,compared with traditional finance.It has better broken through the information asymmetry between enterprises and financial institutions,and reduced the uncertainty caused by information asymmetry.At the same time,Internet finance has a more flexible operating system that can better adapt to the financing needs of small and micro enterprises with obvious individual differences,and provide more targeted financial services.Then,according to the case of the “Financial Service Center Model” adopted in this paper and the development of the W County in the pilot area in the early stage,Such a regional innovation financing system lead by the Internet financial platform,involving multiple entities such as local governments,banks and local financial institutions can open up new financing channels for small and micro enterprises in financing gaps of the traditional financial structure,financing costs also reduced,and local government functions also better realized to help enterprises obtain funds.The business of banks and local financial institutions has been expanded,the investment channels of county residents has been increased,reducing the outflow of funds within the region and realizing regional industry back-feeding.At the same time,the "financial service center model" as an innovative practice also has some shortcomings,which need to be improved in the process of continuous implementation of the project.Finally,through the elaboration and analysis of the thesis,the enlightenment brought by the case is sorted out: The combination of internal and external factors has caused the financing problems of small and micro,and the differences between small and micro enterprises are strong,Relying on the “big finance” led by traditional finance with a relatively solid business management model and process,can not make the financing problem of small and micro enterprises get a real solution.More versatile and innovative Internet finance is a reliable force.Of course,if rely solely on the power of Internet finance,it will easily lead to a lack of awareness of the actual situation of small and micro enterprises.Only by fully mobilizing the leading role of local governments to play a cohesive role between enterprises and financial institutions,supplemented by banks and the power of other local financial institutions to provide more effective solutions for small and micro enterprise financing issues,from the point to large and from the region to the whole.