Asset Backed Securitization Research On The Small Loan Company

The rapid development of SMEs in China, has become an important part of our economic development, however, the small and medium-sized enterprise is restricted to its business scale, risk control and other factors, in the era of profit driven capital is difficult to obtain fundsfrom commercial banks and other financ-ial institutions,financing has become the biggest problem.To private capital, but al-so bring private capital lending risk, small loan companies emerged in this contex-t, to the small and medium-sized enterprise financing difficult problem has play-ed a positive role. However, the rigid provisions of China’s small loan companie-s subject to credit only, widespread financial bottlenecks. Since the birth of small 1-oan companies, has been defined as "the new financial organizations", does not allow to public deposits, not highleverage, lending funds mainly rely on its own fu-nds, financing source is a key problem for the sustainable development of small 1 oan company inchina. In order to solve the funding problem of small loan com pany in china, this paper selects theasset securitization product innovation, credit asset securitization refersthe to the lack of immediate liquidity but with predictab le sta-ble future cash flow of the asset portfolio and credit enhancement, relying on th-e asset or asset group issued for circulation in the financial markets the stru cturedfinance activities of securities. For small loan companies, financingdesign o fassetsecuritization products, wholesale funds can provide low cost, effective helpc ircum-vent the current financial policy on the development restrictions, conducive to China’s small loan company to solve the financing bottleneck.The rapid development of SMEs in China, has become an important part of our economic development, however, the small and medium-sized enterprise is restricted to its business scale, risk control and other factors, in the era of profit driven capital is difficult to obtain fundsfrom commercial banks and other financ-ial institutions,financing has become the biggest problem.To private capital, but al-so bring private capital lending risk, small loan companies emerged in this contex -t, to the small and medium-sized enterprise financing difficult problem has play-ed a positive role. However, the rigid provisions of China’s small loan companie-s subject to credit only, widespread financial bottlenecks. Since the birth of small 1-oan companies, has been defined as "the new financial organizations", does not allow to public deposits, not highleverage, lending funds mainly rely on its own fu-nds, financing source is a key problem for the sustainable development of small 1 oan company inchina. In order to solve the funding problem of small loan com pany in china, this paper selects theasset securitization product innovation, credit asset securitization refers to the lack ofimmediate liquidity but with predictable sta-ble future cash flow of the asset portfolio and credit enhancement, relying on th-e asset or asset group issued for circulation in the financial markets the structured finance activities of securities. For small loan companies, financingdesign of asset securitization products, wholesale funds can provide low cost, effective helpcircum-vent the current financial policy on the development restrictions, conducive to C hina’s small loan company to solve the financing bottleneck.In the current financial environment, the innovation of China’s small loan co mpany mode, first ask the microfinance company to self regulate, secondly, legal p olicy support and attention,through the innovation of the financing channels of s mall loan companies, the feasible designof asset securitization products, helps to open small loans to the current situation, financing to find a breakthrough, and furt her contribute to the financing of small and medium-sizedenterprises in our cou ntry is convenient and efficient, for the economic development of our countr y, make the necessary contribution to financial market prosperity.