A Study On The Problems Of Small And Medium-sized Enterprises Credit Guarantee In Zhejiang Province

After 10 years'practice, China's SME credit guarantee system has played an important role in the settlement to small and medium enterprises financing difficulties, but there are still many problems existing in sources of funding,risk control, risk-sharing and so on. To solve the above problems, this paper first reviews the background, the positive effects and negative effects of SME credit guarantee system, also compare different models of China's SME credit guarantee system. Second, the paper selects the SME credit guarantee system of Zhejiang Province as an study object and introduces the development history, main features, problem of SME credit guarantee system in Zhejiang Province. Then, this paper explores the causes and solutions to SME credit guarantee problems with asymmetric information theory, while summing up the existing practical experience of the Mutual Guarantee in Xiaoshan, bridge and tunnel mode, filing system by case study. Finally, construct a new credit guarantee system for small and medium enterprises in Zhejiang, and give suggestions to the credit guarantee institutions, collaboration banks, government regulators.The principal innovations of this article are:First, the cause of the SME credit guarantee system is the information asymmetry. The entering of guarantee agencies triggers information asymmetry between guarantee agencies and SMEs, guarantee agencies and partner banks. Second, explore the approaches to solve asymmetric information in the aspects of the guarantee mode selection, new business model development and government regulation by case study. Third, in order to build an open innovative guarantee system, guarantee mode selection should be based on the economic characteristics of city, county (district), township, government should do what it should do.