Solving The Financing Difficulties Of Smes &Nbsp; Capital Market Can Shoulder Heavy Responsibilities.

Since the beginning of this year, the people's Bank of China has continuously increased deposits. Financial institution The RMB reserve requirement ratio has been raised and the interest rate of bank deposits has been raised many times. Under the tight monetary policy environment, the most hurt is the small and medium-sized enterprises. Small and medium-sized enterprises face no financing. Capital chain Fracture pressure. In recent years, many reports say that SME financing channels are turning to private lending. The high interest rate of private lending is difficult for SMEs to afford, and the risk of usury is about to break out.

How can we effectively solve the financing problems of SMEs? Dong Dengxin, director of the Financial Research Institute of Wuhan University of Science and Technology, said in an interview with our reporter that vigorously developing direct financing is the fundamental solution. Moreover, the expansion of direct financing is the general trend. Only in this way can we solve the risks caused by the single financing of enterprises.

"Financing from the capital market, one is equity financing, the other is bond financing", Dong Deng said.

He also said that from the current development of small and medium sized boards and gem, equity financing is advancing smoothly. Especially after the expansion of the new three boards, it will become a new way of equity financing for small and medium-sized enterprises.

In September 22nd, the Ministry of industry and Commerce officially released the "12th Five-Year" SME growth plan (hereinafter referred to as "planning"). The plan is the first national special plan for the development of small and medium-sized enterprises in China. The plan puts forward that we should further expand the financing channels for small and medium-sized enterprises, continue to expand the SME board market, actively develop the GEM market, improve the listing mechanism of SMEs, improve the supporting policies for venture capital, promote and standardize the development of the property rights trading market, expand the scale of the issuance of direct debt financing instruments for SMEs, and explore innovative products that meet the needs of SMEs.

Small and medium sized boards and gem should lower the threshold.

Dong Dengxin believes that lowering the threshold for entry into the growth enterprise market is a general trend. Need to go to the United States NASDAQ Learn from it.

In recent years, with the development of small and medium sized board and growth enterprise market, it is difficult for SMEs to get loans from banks.

The Shenzhen stock exchange data show that so far, there are more than 1300 listed companies located in Shenzhen stock exchange serving SMEs, with a market capitalization of nearly 8 trillion and a total financing of about 700000000000 yuan. The capital market has become an important financing channel to support the development of SMEs.

Moreover, the wealth effect of small and medium sized boards and gem provides a risk compensation mechanism for venture capital and guides social capital to small and medium-sized enterprises with independent innovation capability.

The Shenzhen stock exchange data show that as of the end of April this year, 126 of the 576 listed companies in small and medium-sized boards were supported by venture capital institutions, the total investment in venture capital was 4 billion 250 million yuan, and the average return of venture capital was 15 times. 75 of the 209 listed companies on GEM were supported by venture capital institutions, with a total investment of more than 1 billion 750 million yuan and a return of 11.5 times on the first day of listing.

However, it is worth mentioning that the lack of capital market in China is concentrated in the small and medium-sized plates, and the gem is still in its initial stage, and there are endless problems, especially the growth enterprise market. Since its launch, the "three high" issues have attracted numerous criticisms, especially the performance of the GEM companies.

In this regard, Dong Dengxin said, we should understand that the performance of listed companies on GEM is unstable and performance decline is normal. Although investors want stable performance of listed companies, it is unrealistic to require them to be listed companies. Gem's positioning is high growth. Behind high growth implies high risk. It can't guarantee one hundred percent success and stable performance.

"GEM has a fault tolerance rate. The so-called fault tolerance rate is the high mortality rate of SMEs, including high growth enterprises, high mortality rate and high failure rate. Therefore, small and medium sized boards, especially GEM companies, are having normal performance degradation." Dong Dengxin said so.

In addition, Dong Dengxin also said that the perfection of the delisting system is the foundation for achieving the future growth of the growth enterprise market and the high mortality rate behind high growth. Ensure the healthy development after lowering the entry threshold of the gem.

At present, there are many loopholes and imperfections in the main board market delisting policy. The delisting system of gem will learn from the lessons of the main board. There is a big improvement.

Dong Dengxin disclosed that at present, the Shenzhen stock exchange is studying the delisting system of the gem, and it is estimated that in October 30th, when the gem is launched 2nd anniversary, the Shenzhen Stock Exchange will take out the draft of the gem delisting system. {page_break}

New three board expansion of new financing channels for small and medium enterprises

"The expansion of the new three boards will become a new way of equity financing for SMEs," Dong Dengxin said.

He believes that China's capital market also needs to step up efforts to support SMEs financing. In addition to the continued expansion of small and medium sized boards and gem, the expansion of the new three boards is also very important.

It is understood that the "new three boards" is a stock circulation platform launched in January 2006. In fact, it is the abbreviation for the stock spanfer system of the Zhongguancun stock exchange of Shenzhen Stock Exchange. The main purpose is to explore the construction mode of China's multi-level capital market system, and explore the specific ways of using capital market to support innovative enterprises such as high and new technology. The main function of the company is to offer stock quotations and spanfer services to unlisted Limited by Share Ltd, which is currently locked in high-tech enterprises registered in Zhongguancun science and technology park. With the determination of expansion system, the scope will gradually expand.

For the financing of SMEs, the new three boards not only provide a platform for the financing of enterprises directly, but more importantly, it can drive other financing channels. At the beginning of its start-up, the new three board insisted on providing investment and financing platform for hi-tech high growth enterprises, trying to provide solutions for SMEs' financing difficulties.

Some people think that the "new three board" will be the real "growth enterprise market". The new three board threshold is not high, its service concept is not too strict examination and approval, but the record, it is more of a support for enterprises, if the enterprise listed in the new three boards, it can not only in the new three board financing, in other enterprises financing mode choice, the scope will also become wider, and then do private placement, trust, credit, the difficulty is reduced, it is not only a financing channel itself, but also can promote other financing channels, and comprehensively do financing services for enterprises.

It is reported that the revised "three new board" expansion pilot scheme has been submitted to the State Council.

The industry expects the "new three board" policy will be promulgated after the national day, and will officially start next year. Among them, the "spanfer board" mechanism is not the "new three board" listed company without approval directly on the gem or small and medium-sized board, but to provide a green channel to speed up the examination and approval.

Insiders pointed out that the new three boards as an important way of financing high-tech SMEs, its expansion will be a long-term and effective way to solve the financing problems of such enterprises, and at the same time, it is also a supplement to the state's policy to support the emerging technology industry.

Corporate bond issuance needs to be lowered.

Dong Dengxin pointed out that the weakest link in the direct financing channels for SMEs is bond financing. This is not only a problem faced by small and medium-sized enterprises. At present, the development of the entire corporate bond market is lagging behind. Even large and medium-sized enterprises are subject to many restrictions in issuing bonds. In the future, the issuance of corporate bonds needs to be lowered and further marketization is needed.

As one of the financing channels for small and medium-sized enterprises, bonds of all kinds of small and medium-sized enterprises have been extensively explored and developed to a certain extent in the past two years. At present, the most important problem of small and medium enterprises through bond financing is the lack of credit of small and medium-sized enterprises, and the lack of credit for issuing bonds. This is also a financing for the relatively mature enterprises in small and medium-sized enterprises. This practice can not be generalized. Because this requires a discount from the government and needs the support of the local government. It is not enough to benefit all small and medium-sized enterprises. It can only meet some needs, especially the needs of medium-sized enterprises.

This needs to reduce the threshold for the issuance of corporate bonds. The issuance of bonds needs further marketization. Let the small and medium-sized enterprises have the possibility of issuing bonds. But this aspect needs a longer development time, not a short time will be able to carry out. Now the SME debt issuance conditions are not very mature.

"Bond financing is a difficult point for SMEs to finance, but it is also a weak link to be developed, but there is still much to do in terms of financing SMEs." Dong Deng said. He believes that it is not feasible to solve the financing problem of small and medium-sized enterprises by bank loans. Bank loans are mainly for Enterprises above Designated Size, medium sized enterprises, small and micro enterprises through bank loans and financing is very difficult. Bond financing is a better way out.

He predicted that the so-called "junk debt" might be developed in the future, that is, to lower the threshold for issuing bonds between the middle and lower enterprises.