Borrowing Features Of Small-Micro-Enterprises And The Study On The Influencing Factors Of It’s Credit Behavior

With the development of economy, the number of small micro enterprise is more and more, and they play an important role in such aspects as employment, economic development, the creation of tax, so it is an important subject in the process of economic development to attach great importance and support the development of small micro enterprise. Even though the government began to implement preferential policies for small micro enterprise credit supply in recent years, due to the limited funding, the policy coverage is not high, meanwhile there is no professional financial institutions that can offer small micro enterprise credit capital, but the credit supply for small micro enterprise just grow slowly, all that led to small micro enterprises can not met their credit needs. Besides, small micro enterprise has assets scale, high management risk, imperfect financial system, information asymmetry between financial institutions and small micro enterprise, all this things do influence the enthusiasm of the financial institutions to offer small micro enterprise credit funds. Financial institutions’ preference for large and medium-sized enterprises, the complex the credit process for small micro enterprise, means the small micro enterprise have low possibility to get credit funds from financial institutions. With the rapid economic growth in China, the financial service system is not sound, the financial market is not standard, small micro enterprises lack of competitiveness and so on all make small micro enterprise’s financing problem is more outstanding, and has become the important factors that affect economic development, so learn the borrowing features of small micro enterprise put forward the corresponding policy recommendations has important practical significance.Based on this, the paper analyzed the borrowing features of small micro enterprise and influence factors through the aspects of theory and empirical. First of all, the article look forward the research results at home and abroad for reference, analyze related theory for small micro enterprise finance and the small micro enterprise credit supply situation in United States, Japan and Britain. Secondly, the paper sort the questionnaire data that came from 1062 small micro enterprise in 25 provinces of the country and use the descriptive statistics method to analysis the economic characteristics of the small micro enterprise, borrowing requirements, and credit behavior choice, to understand the financing present situation of small micro enterprise under current economic conditions. Then, this paper use binary choice model to learn the small micro enterprise loan demand and the influence factors of borrowing. Finally, on the basis of the above research conclusion, this paper put forward some policy recommendations correspondingly.Research conclusion of this paper:(1) the credit supply of small micro enterprise is an important factor for healthy development of small micro enterprises and it’s change to large and medium-sized enterprises. Small micro enterprise’s own capital is less, management risk is higher, once they have credit demand they need to look forward to external financing, to assure the normal operation of the small micro enterprise or expand the scale of production. So based on the existing credit supply, it is necessary increase financial support, add policy financial institutions that aim to work for small micro enterprise, encourage the commercial Banks and other financial institutions to offer credit funds to small micro enterprise, perfecting the construction of capital market to broaden the financing channels of small micro enterprise.(2) under the condition of information asymmetric, the formal financial institutions and non-financial institutions’credit service to small micro enterprise have obvious difference. Formal financial department of the rural credit cooperatives, small loan companies, village Banks and informal financial institutions department are the main channel for small micro enterprises to satisfy their credit demand, and the commercial Banks and other formal financial institutions just offer small credit service. Due to the business characteristics of small micro enterprise, commercial Banks need to pay the high cost for the soft information of production, but rural credit cooperatives, financial institutions, and informal microfinance companies can rely on credit advantage reduce credit cost and risk effectively. (3) Most of small micro enterprises have credit demand, mainly for short or medium term, but the actual choice to get credit funds through formal and informal financial institutions is less. Compared the formal financial institutions and the informal financial institutions, we found that the credit service which formal financial institutions offered to small micro enterprise was less than the informal financial institutions, mortgage loans, credit and loan sharks accounted for more in informal financial borrowing. (4) In one small micro enterprise, the cultural level of the leader, the average cultural level of employees, the industry it is in, the asset scale, the enterprise’s annual operating income all have a significant impact on of the credit demand of small micro enterprise; The assets scale has positive influence on the loan from formal and informal financial institutions; Annual operating income has a negative effect on lending from formal financial institutions, has a positive effect on the lending from informal financial institutions.On the above conclusions, the Policy suggestion of this paper including:(1) the innovation of financial institutions for the micro credit. To effectively meet the financing needs of small enterprises, we must give full consideration to its production characteristics, demand characteristics, and establish special financial institutions that can meet the financial needs of small micro enterprises. (2) The innovation of micro credit products. The existed credit products in financial institutions for small micro enterprise are almost mortgages, and is not adopt to the assets of small micro enterprise, and also the time can’t meet the needs of small micro enterprise, so we should be centered on small micro enterprise, innovate more credit products that adopt to small micro enterprise.(3) Innovate the service process of microfinance. Commercial Banks and other financial institutions should make the credit business for small micro enterprise intensive, quantify the tolerance risk and expected return through data model, after comparing, shorten the approval process when make a credit decision. (4) Innovate microfinance credit evaluation system. When people grade credit grading for small micro enterprise, they should take the soft information of production of small micro enterprise into consideration, then get the customer credit rating for technology, and finally, financial institutions decide whether to lend credit funds as the basis of credit scoring. (5) Innovate the micro credit risk management system. Increase the insurance for the small micro enterprise itself, improve the system of risk management, risk defense mechanism, strengthen the supervision of financial institutions. (6) Innovate the microfinance preferential policies. Comfortable operating environment, for small micro enterprise, breaks or to reduce the tax burden of the enterprise, focus on fiscal and financial resources, and gradually improve the small micro enterprise credit services.The innovation of this paper are:(1) Compared the credit supply of small micro enterprise in United States, Japan, Britain through literature analysis and comparative analysis, get useful experience and enlightenment; (2) Master the the characteristics of small micro enterprise loan, financing present situation through the questionnaire survey, then study the credit demand of small micro enterprise and influence factors of it’s borrowing and point out the direction for our country to improve credit service of the small micro enterprise.(3) The paper presents the policy suggestions for microfinance service innovation comprehensively, provides a decision-making train of thought to improve small micro enterprise credit service effectively, promoting financial development and economic development.