Venture Capital,the Level Of Development Of The Banking And Credit Financing Of SMEs

Over the past three decades after the reform and opening up, the economy of our country has been continuously developing. At the same time, the number of SMEs has increased significantly, and has a faster pace of development. The SMEs have unique advantages, which plays an irreplaceable role in easing the employment pressure, promoting technological innovation, increasing tax revenue, promoting international trade and solving the employment problem. Therefore, the government introduced various policies to support the development of SMEs. However, the financing problem SMEs is very grim, and SMEs are still difficult to obtain bank loans.On the basis of the literature review, this paper found that many scholars conducted extensive research on how to solve these problems and put forward many recommendations. In these recommendations. These recommendations are more concentrated on how to improve the external financing environment of SMEs, especially from the financial point of view. Meanwhile, previous studies have also shown that the configuration of social capital mainly relies on banks and the overall development of China’s banking sector is relatively low and the uneven development among regions. This research follows previous research inheritance and direction, and combines with actual situation in our country, it starts the research from the development of banking industry. Meanwhile, with the active development of venture capital in recent years, the existing studies found that venture capital can affect the invested enterprise through certification and monitoring effects. This suggests that venture capital can help SMEs access to credit financing to some extent. However, the extent of direct impact on SME credit risk investments have yet to be determined. Based on the above, the paper selects the data of SMEs on the NEEQ from 2013 to 2014 as the research sample, and analysis the following specific contents through empirical research:(1)study the influence of the lever of development of banking on SME credit ability;(2)study whether the venture capital can facilitate SME credit;(3) The paper analyzes the effect of the banking development level on credit financing facility of venture capital,and tests whether this effect is significantly different at different banking development levels.(4)study the effect of venture capital on bank credit facilitation for SMEs differences among different industries.The empirical results show that:(1)the level of development of banking has a positive effect in SME lending, that is, when the banking industry has a high level, the total amount of credit available of SMEs will also increase.(2)venture capital can bring convenience in credit financing for SMEs, that is to say, venture capital can help SMEs to obtain more bank loans.(3)venture capital has discrepant effects on SME debt facilitation under different levels of development of banking. When the level of the silver industry is relatively low, venture capital exerts the credit facilities effect more obvious, on the contrary, it is not obvious. This shows that in case of insufficient development of banking, venture capital can make up for lack of credit for SMEs.(4)venture capital has the best performance in high-tech manufacturing in terms of the effect of debt facilitation on SEMs.In theory, the paper can figure out the impact of venture capital for SMEs credit, and the effect of venture capital on making up for the lack of banking industry. In practice, it helps to broaden the financing channels for SMEs, which can effectively increase the external financing of SMEs. At the same time, through the study on the different impact of venture capital in different industry, it can also provide a reference for state-led development of venture investment and promote industrial upgrading.