A Study On The Financing Problem And Innovation Mode Of Financing Of Small And Medium Enterprises In Zhejiang Province

Since the reform and opening up, small and medium enterprises(SMEs) have developed rapidly, and are playing more and more important roles in national economy. It has been Proved that they have comparative advantages in creating wealth for soeiety, addressing the employment, inereasing exports and tax revenues, meeting the diverse needs of the residents and technological innovation. However, financing problem has been a primary problem restricting the development of SMEs these years. So, How innovating financing models and channels to sovle the financing problem of SMEs needs our concerns at the present stage.Zhejiang is the province which has the largest number of SMEs, and whose economy is one of the most active ones in China. However, SMEs have been long faced with the financing difficulties. Especially since2011, the phenomenon such as Wenzhou enterprises "closures" and "the boss Run away" has caused a seris of social panic, and also financing problems highlighted. Nowadays, the majority of Zhejiang SMEs are not only lack of direct financing channels, but also in the indirect financing Proeess, what is more, many enterprises find nowhere to financing. What are the Zhejiang SMEs financing modes and innovative financing models to alleviate the Problem of financing SMEs inZhejiang Province? These need to be concerned at this stage. To solve the financing problem of SMEs, is in relation to the development of SMEs in Zhejiang province, which will ultimately affect the sustainable development of regional economy.Based on the theory of SMEs financing of asymmetric information, the paper studies the current condition of financing of private enterprises, financing modles and channels and main influence factors on financing, taking the financing problem of wenzhou as the research object, and citing the investigation data from Insititute for SMEs in Zhejiang University of Technology. Based on the actual financing difficulties, the paper analyses causes of the financing problem from the perspective of external financial system, internal market environment, financial institutions and SMEs financing behavior, to explore innovative models for SMEs. Then finally, puts forward relevant measures to solve the financing problem of SMEs in Zhejiang.