The Research On Financial Innovation Of Local Commercial Banks Helping The Development Of Small And Micro Enterprises

The number of small and micro enterprises in China is large,accounting for more than 90% of the total enterprises,which is an important part of China's national economic development.There are two obstacles to the steady development of small and micro enterprises.One is the difficulty of financing,the other is the high cost of financing.There are many deep-seated reasons,such as asymmetric market information,indistinct individual income,high risk and cost,and high requirements for credit approval conditions of commercial banks.The above reasons directly result in the long financing time,high financing cost and low capital turnover frequency of small and micro enterprises.Discussing how local commercial banks use financial innovation to alleviate the financing difficulties of small and micro enterprises has certain theoretical significance and practical value.On the basis of summarizing domestic and foreign literatures,this paper integrates Macmillan gap theory with life cycle theory,Maslow's hierarchy of demand theory and relational lending theory,and sums up the causes of financing difficulties of small and micro enterprises from the theoretical level.At the practical level,this paper analyses the current situation and problems of local commercial banks serving small and micro enterprises,and puts forward some countermeasures and suggestions based on case analysis: firstly,innovating financial products and reducing financing costs to solve the problems of high financing cost and long time for small and micro enterprises;secondly,innovating guarantee methods and improving loan acquisition.To solve the problem of insufficient financing guarantee and high risk of small and micro enterprises,we should innovate the means of wind control and reduce the non-performing rate of assets to solve the problem of high non-performing rate of small and micro loans,expand channels and reduce the process,improve the quality and effect of service innovation to solve the problem of single service channel and long business process of financial institutions,and standardize the process.Corporate governance,improve the importance of serving small and micro customers;Sixth,scientific and technological innovation to guide and enhance the level of professional management to meet the financial needs of enterprises with different life cycles.Through the research of this paper,it provides operable and referential suggestions for six kinds of financing problems of small and micro enterprises,hoping to help solve the financial service problems of small and micro enterprises in China,and make many small and micro enterprises get healthy development.