Tech Private Sme Financing Risk Management Study

Technology based Small and Medium-sized Private Enterprises are new emerging enterprises, taking high tech research and development, production conversion and high-tech product sales as main business. They play an important role in promoting the development of high-tech industries, improving the technological level of society, developing knowledge economy. Along with implementation of the strategy of science and technology, they will play an increasingly important role in China's national economy. Being characterized by high innovation, high growth, high investment, high risk, high yield, they are relatively difficult in financing compared with other small and medium-sized enterprises. To technology based small and medium-sized private enterprises, taking high tech industrial is very difficult for the reasons about difficulties in financing and financial risk. And it is difficult for them to become big and successful.This paper analyzes the financing needs at all stages of Technology based Small and Medium-sized Private Enterprises'life cycle in the base of financial life cycle theory, and uses the enterprise risk management theory to analyze their financial risk characteristics and influencing factors. In addition, this paper identifies their critical debt financing risk, risk of equity financing and financing structure risk from the perspective of financial method, and evaluates financing risk using qualitative analysis and quantitative analysis method of combining. Based on financing risk theory research and investigation, this paper puts forward effective measures to prevent and control the financing risk. As a case, this paper quantitatively evaluates financing risk of Shenzhen Capchem Technology Co.,LTD using financial risk early warning system. This provides beneficial reference for financing risk management of Technology based Small and Medium-sized Private Enterprises.