The State And Development Bottleneck Of Commercial Bank's Hi-tech Small Micro-credit Services

Hi-tech Small and Micro Enterprises,as the most active and highest potential group in making technological innovation,are the important pivot point in promoting social and economic development and stimulating technological innovation.As there are uncertainties in their development and most lite-asset enterprises lack of collaterals,it is rather difficult for these Hi-tech Small and Micro Enterprises to obtain loans from commercial banks.Although the commercial banks,as their priority channel for raising funds,have begun to pay attention to Hi-tech Small and Micro Enterprises,their pass rate is still very low.This paper starts with the credit approval situation of commercial banks for Hi-tech Small and Micro Enterprises to point out reasons behind the low pass rate of granting credits to these enterprises,which can be attributed to enterprises themselves and to the lack of experienced approval employees in the commercial banks.By illustrating briefly the existing practice of commercial banks for their target clients,it is pointed out that commercial banks should extend their client groups,reduce the credit admittance standards for some Hi-tech Small and Micro Enterprises at earlier stages of their start-up,and further improve the procedure of credit application,approval,withdraw deposit and repayment within the commercial banks,so as to meet their actual demand for capital.Under the guidance of related national policies,commercial banks begin to innovate their credit products when adjusting their internal assessment to favor Hi-tech Small and Micro Enterprises.While,due to the limit of industrial mechanism,laws and regulations,there is still a long way for making innovations.In the end,a structured interview is conducted with executives from Bank of Communications,Bank of Ningbo,Bank of Nanjing and Pufa Silicon Valley Bank as well as some employees from credit lines for Hi-tech Small and Micro Enterprises,in order to understand the practice of commercial banks in authorizing credits to Hi-tech Small and Micro Enterprises and the existing development situation of credit services for these enterprises.Therefore,difficulties faced by commercial banks in developing credits for Hi-tech Small and Micro Enterprises are analyzed and suggestions are put forward in terms of client extension,product design,business procedure and professional development.