Improve The Financing Environment Of Small And Micro Enterprises Should Be Multi Pronged

Small and micro enterprises have become a new force in local economic development. They constitute an important force in the development of regional economy, and play a strong supporting role in promoting social employment. However, the difficulty of financing small and micro enterprises is also an indisputable fact.

Current small and micro

There are several problems in financing.

First, financing is difficult.

Small and micro enterprises are weak in strength, inefficient in operation and high in debt ratio. Moreover, enterprises are not well regulated, scattered and numerous, so they are hard to get the favor of financial institutions.

Two, financing is expensive.

Financial institutions often favor large enterprises, and small and micro enterprises are very difficult to obtain bank loans.

Under such circumstances, small and micro enterprises have to obtain short-term funds through private lending so as to survive and develop. The high cost of borrowing will inevitably affect the survival and development of small and micro enterprises.

The three is financing chaos.

Small and micro enterprises often finance in an informal way, mainly through the personal savings of entrepreneurs, the loans of relatives and friends, the internal fund-raising of employees, and personal capital flows to the usury market.

The four is financing insurance.

Small and micro enterprises

Profits are low, financing channels are single, financing environment is poor, financing costs are high, and loans involved in usury are small and micro enterprises, which bear heavy debt burden and gather certain financing risks. Once the chain of funds breaks down, the survival of small and micro enterprises will be threatened.

The five is the weak mortgage.

Small and micro enterprises generally lack effective assets for loan guarantees, resulting in loans more difficult.

To improve the financing environment, we need to increase policy support.

First, we need to provide a relaxed development environment for small and micro enterprises, reduce the threshold, reduce the examination and approval matters, implement long-term preferential policies, reduce or exempt tax burden for new small and micro enterprises, and reduce the financial pressure of enterprises in the growth period.

Long term tax source.

Secondly, we should increase financial investment, constantly increase the scale of special fund for small and micro enterprises, improve the use and management of financial funds, adhere to the principle of universal benefit, and expand the beneficiaries of small and micro enterprises.

Moreover, to strengthen services for small and micro enterprises, the government should set up a service system for small and micro enterprises, reform the tax system for small and micro enterprises, expand the scope of tax deduction and exemption, increase the depreciation rate of fixed assets, and actively provide services such as government training and consultation for small and micro enterprises.

We should strengthen enterprise management and constantly improve their own financing conditions.

According to the requirements of modern enterprise management system, we should standardize the management of enterprises.

At the same time, enterprises should strengthen management and prudent management, adhere to the steady and healthy development policy, strive to reduce production costs, continuously improve production efficiency, and increase investment in science and technology, speed up scientific and technological innovation, optimize and adjust product mix, and continuously improve product quality, thereby enhancing market competitiveness and expanding market share.

Speed up financial innovation services.

Compared with large banks, small and medium banks serve small and micro businesses with advantages such as short approval process, quick capital and flexible form.

The government should actively encourage small financial institutions to develop.

We should vigorously develop new financial organizations such as village banks and community banks, increase the coverage of services, and supplement the blind areas of the services of large financial institutions.

We should vigorously guide private capital into the financial field, actively innovate and standardize private lending under the precondition of legality and compliance, and operate in a sunny way.

We should strengthen financial supervision and improve the mechanism of credit risk assessment.

When expanding loans to small and micro enterprises, financial institutions should establish a sound and sound credit risk assessment mechanism, standardize credit rating, rating and information release for small and micro enterprises, prevent and defuse credit risks, and enable financial institutions to actively and actively enhance credit support for small and micro enterprises, so as to enable small and micro enterprises to survive and develop healthily in the fierce market competition.

Expand financing channels and activate private capital.

The grass-roots financial institutions have the advantage of low cost paction in the sources of funds, credit channels, risk avoidance mechanisms and profitable pactions, and are important forces to alleviate the financing difficulties of small and micro enterprises.

The existing financial institutions should be encouraged to set up branches in community towns and townships. In line with the actual conditions of the grass-roots units, efforts should be made to make financial products more refined, personalized and innovative in mortgage guarantee ways, so as to meet the credit demand of small and micro enterprises as far as possible.

The establishment of private financing institutions serving small and micro businesses, individual entrepreneurship and farmers' operation will encourage private capital to set up small loan companies, so that private lending can be pferred from "underground" to "aboveground", so as to speed up the process of legalization and sunshine.