The Research For The Innovative Development Of Micro Loan Companies

For a long time,China’s private capital lending is an important financing channel for financial disadvantaged groups.Because of the lack of mutual restraint and guarantee mechanism,private lending is always associated with usury,resulting in illegal activities,which have a long-term adverse impact on both borrowers and lenders,and the supply and demand channels of private idle funds.on the one hand,the practice and theoretical innovation of microfinance prove the feasibility and necessity of "financial vulnerable groups" as financial demanders,and on the other hand,provide theoretical guidance and successful precedent for the standardized operation of private capital in the field of microfinance.The micro-loan company in China is the innovative institutions.On the one hand,they regulate and guide the private lending behavior;on the other hand,they supplement the supply of funds for small enterprises and "agriculture,rural areas and farmers",providing a new form for meeting the investment and financing needs of vulnerable groups under the traditional financial system.At present,the development of micro-loan companies is in a predicament and the problem of sustainable operation is becoming more and more serious.How to break through the current bottleneck of development,innovate the mode of operation and development of microfinance,Innovating the operation and development mode of microfinance,surviving in the competition of the loan market,and realizing the sustainable development of microfinance companies,the development situation and cases of Ningbo microfinance companies have certain theoretical and practical significance.Based on the literature review on micro-credit,micro-loan companies,sustainable development and supervision policies of micro-loan companies,this paper analyzes the mechanism of innovation to achieve sustainable development of micro-loan companies,combined with ningbo representative small loans company innovation case study suggests:Firstly,with the help of innovative thinking rather than imitating the operation and business development model of other financial organizations,microfinance companies can break through the current bottleneck of development and find the right way to develop.Secondly,under the existing policy goals and regulatory framework,micro-loan companies establish sustainable competitive advantages through innovation effect,realize the market positioning of serving "agriculture,rural areas and farmers" and "small and micro businesses",and truly reflect the unique existence value of micro-loan companies.Third,by exploring innovative approaches,microfinance companies not only provide beneficial practices for improving the existing system of sustainable financial services,but also accumulate experience for further deepening the reform of the financial system.Fourth,the end of the paper,it gives the innovative development strategy of microfinance companies,in the process of balancing policy goals and business objectives,innovative financing ways and channels,operation mechanism and system of internal control and external supervision means and technology and the development of supporting policies and measures,improve internal and external environment for the development of micro-loan companies,realize the sustained and steady development of micro-loan companies.