Research on Financing Cost of Small and Medium-Sized Enterprises by Internet Finance

Small and medium-sized enterprises (SMEs) as an important part of the national economy, are the main carrier of “public entrepreneurship, innovation” under the new normal of the current economic, and its development and growth is essential [1]. However, the financing difficulties have long restricted the development of SMEs. Because of their own characteristics, SMEs can hardly obtain the funds needed for their own development through traditional financing ways. The rapid development of Internet finance has opened the way for the financing of SMEs. This article discusses the ways of financing under the traditional financing mode and the reasons why it is hard to get financing. By summarizing the financing channels of SMEs on the Internet platform and analyzing their impact on the financing of SMEs, and then gives some policy recommendations.