Brief Analysis Of 12 Ways Of Financing For Small And Medium Sized Enterprises

At present, there are mainly 12 ways of financing for small and medium-sized enterprises that are implemented and innovating.

Comprehensive credit is that banks are good at some business situations.

Credit guarantee loans have been established in more than 100 cities in 31 provinces and municipalities throughout the country.

Most of these institutions operate in the form of membership management, which belong to public service and industry self-discipline.

Buyer's loan, if the product of a company has a reliable sale, but in the case of its own capital shortage, poor financial management foundation, collateral that can be provided or seeking third party guarantees, the bank can provide loan support to the purchaser of its products according to the sales contract.

The seller can collect a certain proportion of the advance payment to the buyer to solve the financial difficulties in the production process.

Or the buyer will issue a bank acceptance bill and the seller will take it to the bank for discount.

Joint venture loans between different places, some small and medium-sized enterprises have a wide market, or for some big ones.

Commercial banks such as China Construction Bank, Minsheng Bank, CITIC Industrial Bank and other commercial banks have launched a new variety of financing business - personal entrustment loans.

That is, a loan entrusted by an individual by a commercial bank for the purpose of issuing, supervising, using, and assisting in the recovery of the loan object, purpose, amount, time limit and interest rate determined by the commercial bank.

The basic procedures for handling personal entrusted loans are as follows: 1..

2. the bank chooses and matches the two parties according to their conditions and requirements, and recommends them to the client and the borrower respectively.

3. the client and the borrower meet directly and negotiate and decide on specific matters and details such as loan amount, interest rate, loan term and repayment method.

4. after the two sides have settled the requirements, the two sides go to the bank and sign the entrustment agreement with the bank respectively.

5. the bank conducts a survey on the creditworthiness and repayment ability of the borrower and makes an investigation report. Then the borrower and the borrower sign a loan contract and issue loans after approval by the bank.

The intangible assets guarantee loan can be used as a loan pledge in accordance with the relevant provisions of the guarantee law of the People's Republic of China, and the intangible assets such as the exclusive right to use the trademark, the patent right and the property rights in the copyright, which can be pferred according to law.

Discount financing for bills discounted financing refers to the pfer of commercial notes to banks by the notes holders, and the funds obtained after deducting the discount interest.

In our country, commercial bills mainly refer to bank acceptance and commercial acceptance.

One of the advantages of this way of financing is that banks do not lend money in accordance with the size of their assets, but rather lend money on the basis of market conditions (sales contracts).

The days when enterprises receive bills to be negotiable to maturity are usually few, but dozens of days, and 300 days more.

If the company can make full use of the discount financing, it is much simpler than the loan application procedure, and the financing cost is very low.

The bill discounting only takes the corresponding notes to the bank to handle the relevant formalities, generally can be completed within 3 business days, for enterprises, this is "tomorrow's money to make the day after tomorrow", this kind of financing method is worthy of extensive and active use of small and medium enterprises.

Financial leasing financial leasing has become the second largest financing mode behind the bank credit in the developed countries.

Financial leasing is a new financing method characterized by the integration of credit, trade and lease, and the separation of ownership and use right of leased objects.

When the equipment is used by the manufacturer to see some equipment, it can entrust the financial leasing company to make the purchase and then deliver the equipment to the enterprise in the form of lease.

When the enterprise repaid the rent in the contract period, it will eventually own the ownership of the equipment.

Through financial leasing, enterprises can use a small amount of funds to acquire the necessary advanced technology and equipment. They can produce and rent money on their own. Financial leasing is a good way to speed up investment and expand production for enterprises lacking funds. For some enterprises with backlog of products, financial leasing is a good means to promote sales and expand the market.

Pawn financing pawn is a kind of financing method that obtains temporary loans in the form of real property as collateral and real ownership pfer.

Compared with bank loans, pawn loan has high cost and small loan scale, but pawn has advantages that bank loans can not compare.

First of all, compared with the bank's stringent requirements for the credit conditions of the borrowers, the pawnshop's credit requirements for clients are almost zero, and pawnshops only pay attention to whether the pawnshops are genuine or not.

Moreover, the general commercial banks only make real estate mortgage, while pawnshops can act as collateral for the two movable property and real estate pledge.

Secondly, the pawnshop pawnshop's starting point is low, and thousands of yuan and 100 yuan can be used.

Contrary to banks, pawnshops pay more attention to personal customers and SMEs.

Third, compared with the complicated procedures of bank loans and the period of examination and approval, pawn loan procedures are very simple and most of them are desirable. Even real estate mortgage is much more convenient than banks.

Fourth, when a customer borrows money from a bank, the purpose of the loan can not exceed the scope specified by the bank.

Pawnshops do not ask about the use of loans, but money is very free to use.

Cycle has greatly improved the utilization rate of funds.

Project development loans some high-tech small and medium-sized enterprises, if there is a significant value of science and technology achievements pformation project, the initial investment amount is relatively large, the enterprise's own capital is difficult to bear, can apply for the project development loan to the bank.

Commercial banks will provide positive credit support to small and medium-sized enterprises with high technology products and patent projects with mature technology and good market prospects and technological pformation by using new and high technology achievements, so as to speed up the pformation of scientific and technological achievements.

In addition to providing loans for working capital, banks can also handle project development loans for building high-tech enterprises or small and medium-sized high-tech enterprises with their own research departments.

Foreign exchange loans for export production enterprises for export products, banks can be based on export contracts, or importers to provide a credit visa, to provide packaged loans.

For enterprises with foreign currency accounts, foreign exchange mortgage loans can be provided.

For enterprises with foreign exchange income sources, Renminbi loans can be obtained on the basis of foreign exchange certificates.

Enterprises with good prospects for export can also borrow a certain amount of technological pformation loans.

In August 2002, ICBC first launched the natural person guaranteed loan business. In the future, the domestic institutions of ICBC will provide property guarantee to natural persons and undertake compensatory liabilities when they handle the credit business for SMEs within 3 years.

The natural person guarantee can take three ways: mortgage, pledge of rights, mortgage and guarantee.

Mortgaged property includes personal property, land use right and means of pportation.

Personal assets that can be pledged include savings certificates, certificate bonds and registered financial bonds.

Mortgage plus guarantee means collateral liability guarantee of the mortgagee on the basis of property mortgage.

If the borrower fails to repay all principal interest or other default items on time, the bank will ask the guarantor to perform the obligation of guaranty.