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Characteristic and Countermeasure on the Financing of SMEs in China

Cong Wang

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Abstract

The major issue of sustained, rapid and healthy development of China's socialist market economy is related to SMEs financing. As rapid development of China's economy, corporate financing activities have become increasingly frequent. However, due to their own weaknesses and SMEs' external financing environment, etc, these factors cause difficulties in SMEs financing. Difficulty in financing has become a bottleneck restricting the development of SMEs. Therefore, analyzing the financing of SMEs' status and their reasons for the difficulty in financing, proposing policy recommendations to solve the financing difficulties, have an important and far-reaching realistic significance to promote the healthy development of SMEs.

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What this paper is about

The major issue of sustained, rapid and healthy development of China's socialist market economy is related to SMEs financing. As rapid development of China's economy, corporate financing activities have become increasingly frequent. However, due to their own weaknesses and SMEs' external financing environment, etc, these factors cause difficulties in SMEs financing. Difficulty in financing has become a bottleneck restricting the development of SMEs. Therefore, analyzing the financing of SMEs' status and their reasons for the difficulty in financing, proposing policy recommendations to solve the financing difficulties, have an important and far-reaching realistic significance to promote the healthy development of SMEs.

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Available abstract

The major issue of sustained, rapid and healthy development of China's socialist market economy is related to SMEs financing. As rapid development of China's economy, corporate financing activities have become increasingly frequent. However, due to their own weaknesses and SMEs' external financing environment, etc, these factors cause difficulties in SMEs financing. Difficulty in financing has become a bottleneck restricting the development of SMEs. Therefore, analyzing the financing of SMEs' status and their reasons for the difficulty in financing, proposing policy recommendations to solve the financing difficulties, have an important and far-reaching realistic significance to promote the healthy development of SMEs.

Key concepts: Countermeasure, Finance, Bottleneck, China, Business, Risk financing, External financing, Internal financing

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