Application Of Supply Chain Financing Of SMEs

At present, China SMEs have become the main driving force of rapid economic development, with the worldwide credit crunch, accounts receivable continues to expand the scale, many industrial supply chain is broken financial crisis, and in the supply chain system, more than 80% for SMEs [14]. Because the Small Enterprise Financing single, serious shortage of funds hindered its development, particularly in the industrial supply chain downstream on SMEs, there is great pressure to improve payment terms, reduce procurement costs and improve inventory turns aspect appeared supply chain finance business is just to help SMEs break credit financing problems, promote its development, therefore, to explore issues related to SMEs in the supply chain financing is a strong practical significance.Paper is divided into seven sections. The first part is the background and significance, content and methods in detail, and the results of previous studies of simple comb.The second part introduces the basic theory of supply chain financing, including supply chain financing concept, the origin of the development of supply chain financing, supply chain financing as well as the main mode of similarities and differences between the various modes.The third part analyzes the limitations of traditional financing of SMEs and the reasons, aimed to explore the advantages of the follow-up of the SME supply chain financing to pave the way.The fourth part briefly describes the supply chain financing after the development of SMEs in China, it analyzes the control traditional financing SME supply chain financing has the advantage, and through the G’s supply chain financing case studies have proven supply chain financing cracks role of SMEs cash flow difficulties.The fifth part focuses on the current plight of the supply chain of SME financing encountered in its development and why is there such a predicament.The sixth part of the contents for analysis part of the fifth, respectively, from the government, the financial sector and small and medium enterprises in three levels, supply chain financing is proposed to promote the development of SMEs in China some specific and feasible recommendations.