Financing of private enterprises of the current situation and future trends

[Abstract] China's private enterprises in China's economic development, employment and make a great contribution, as China's deepening of market-oriented economy, private economy in the national economy is bound to play a more active role. Of private enterprises in China Status and Problems of financing is to come up with strategies to better address the financing of private enterprises.

[Keywords:] Situation Analysis of financing of private enterprises financing strategy

First, the status of financing of private enterprises

China corporate finance difficult, difficult in the financing channels, difficult choices in financing for small business. Our main business is the bank loan financing, only a few enterprises to the capital market financing to the capital. Not a single financing restricting the development of enterprises and the business to commercial banks a great deal of stress and risk. Since 2005, funds from the central government out of 6.5 trillion yuan of funds in commercial banks to resolve non-performing loans. But the end of 2008, non-performing loan ratio of commercial banks is still as high as 25%. China's commercial banks undigested old non-performing loans, new and growing because of its deep-seated pattern of irrational market corporate finance, corporate financing channels over a single narrow, many the burden of financing enterprises in the commercial banks are pressing the shoulders, leading commercial banks vulnerable to external factors Decision interference and intervention. Therefore, the financial institutions in providing loans to more credit risk and risk aversion considerations, leading to a private enterprise financing. Meanwhile, China's economy, the emergence of a number of regional small and medium financial institutions, private enterprises should have been to support the development of mission. However, in practice, these financial institutions, business development and state-owned financial institutions the trend of convergence, not really for private enterprises, there is a certain credit discrimination. Many small and medium financial institutions to a lot of money on deposit or purchase of bonds, loans to private enterprises for much-needed but not support it. In addition, our local financial institutions, especially agricultural information society has become a major force in support of SME financing. Local imperfect corporate governance structure of financial institutions, centralized management system is not established, the actual capital adequacy ratio is low, in support of economic development appears powerless situation.

Private enterprise economy as the primary stage of socialism in China an important supplement to the basic economic system component, the process of development in the national economy as a force to be reckoned with. But there is one third of the world economy of China's private enterprises, the financial support has encountered unfair treatment.

Objectively speaking, in order to solve the problem of financing the private economy, the central departments and local governments are under a lot of effort, also introduced a number of specific policy measures, however, results from the implementation point of view, these measures are often a temporary solution , died a short length of treatment, did not fundamentally solve the difficult problem of financing of private enterprises.

Reality shows that private enterprise financing is reflected on the surface of the narrow channels, while the deeper reason is the institutional and systemic issues. Therefore, the introduction of some policies alone are not sufficient to solve the problem, we must deepen the financial system, speed up system adjustment, economic and social development from the perspective of private enterprise to finance the development of comprehensive consideration of the issue. to solve the difficult way Private Enterprises.


Second, solving the financing difficulties of private enterprise approach

1. Continuous improvement and development of private enterprises in the external economic environment
(1) adjusting and improving the banking system, strengthen the security management. Existing in China's commercial banking system continued high degree of state monopoly banks, private small and medium serious shortage of commercial banks. This abnormal structure, which not only reduces the financing efficiency the development of private small and medium enterprises, and increase the financial risks and make risk highly concentrated in the central government. should create financial models for community services (such as rural credit cooperatives), the local small and medium-depth services to financial institutions, many local individuals the private sector, the formation of enterprises and financial institutions "win-win" situation.

(2) to expand market access. The one hand, to fully inspect the implementation of preferential policies for private investment, carefully cleaning the limited growth of private investment unreasonable rules and charges. All national, provincial, municipal and not conducive to the defunct private investment rules and methods must be resolutely abolished completely removal of administrative fees. of enterprises and institutions of the administrative charges should be resolutely abolished, on the really necessary measure to retain the fees imposed after after a one-time, "a style" charges, and implementation of "expenditure", into the budget; on the cancellation and reservation fees, and standards should be publicized. On the other hand, to change the administrative examination and approval matters more complicated procedures, transparency and low status, non-government investment projects In principle, the implementation of registration and recording system.

(3) system to adjust the system, efforts to change the error discrimination of private enterprises.

① the implementation of equal treatment. At the national finance, taxation, land, technical innovation and other economic policy formulation and implementation, to abolish the different economic policies, ensure fairness, equal treatment. On the various market players have to perform their statutory duties, stop with the review, approval or license of administrative functions to private sector management companies charge fees and unfair and unreasonable behavior.

② to strengthen and improve financial services to SMEs. The Government should further improve the financing of services of private enterprises, the introduction of appropriate policies and establish a sound mechanism for investment financing of private enterprises to create a good environment. And in all commercial banks to set up SMEs Finance Department. active financial services for SMEs, such as innovative financial products, providing financial services. In the case of the conditions are ripe to explore the establishment of specialized banks for SMEs. reposted elsewhere in the Research Papers Download http: / / www.hi138.com ③ study and explore the direct financing and indirect financing of SMEs in a variety of effective ways and means, and strive to make small business loans difficult issues are resolved. can establish a multi-level financial system, vigorously develop urban commercial banks urban and rural credit cooperatives and other financial institutions. At present, China's securities market is relatively small and medium enterprises "threshold" too high to meet the needs of direct financing of SMEs, it is necessary to open a legitimate stake in their circulation areas, which open up a dedicated SME service second board market.

④ focus on supporting small and medium enterprises in the high-tech enterprises. Sufficient to facilitate the creation of an investment to attract international and domestic high-tech venture capital investment in small and medium enterprises, develop perfect market monitoring mechanism, the establishment of venture capital funds to address the risk of SME investment.


2. Improve the quality of private enterprises in their own internal factors
With the non-public economy in 1999 explicitly written into the Constitution, China's private economy is more in full swing. The private economy has become a force in promoting social development in the national economy plays a decisive role. The concept of private enterprises and institutions should adapt to this kinds of trends, and strengthen cohesion.

Private business owners have to change the personnel behind the concept. (1) private enterprise only to the treatment of employees, employee contribution to the enterprise, both fair and reasonable relationship between, can effectively reduce the employee was treated unfairly by horizontal comparison of the flow. (2) a clear corporate mission and strategic objectives. corporate mission statement the purpose of existence of the business, but also the value of the pursuit of corporate behavior. private enterprises through business mission and long-term strategic goals outlined, the goal can be unified staff development goals up to the enterprise and give employees a better vision, and enhance the cohesion of private enterprises.


References:
[1] Wu Lijian. SME financing problem [Papers]. Market forum, 2009, (2).

[2] Yang Hung Man. SME financing difficulties and countermeasures [Papers]. Yangtze River Delta, 2008, (6).

[3] Du Maohua, Tian Ying-hua. The problem of financing small and medium private enterprises dialysis [Papers]. Economist, 2008, (08). Links http://www.hi138.com Research Papers Download