Research On Equity Financing For SMEs In New Third Board

Small and medium-sized enterprises are important part of the national economy, with changing in our country’s economic development, SMEs are also increasingly high demanded. Therefore, the financing of SMEs is even more prominent. To a certain extent, new third board as a new financing channel, to solve the financing difficulty of SMEs. However, the multi-level capital market is still unable to meet the social and economic development of China. Therefore, how to improve enterprises’ financing effect in new third board is the focus of this paper.Firstly, this paper generalizes the development trend of the OTC markets at home and abroad, expounds the present status of the financing of SMEs in China, and makes clearly the necessary connection between the two. Secondly, using the method of combining theoretical analysis and case study, systematic and comprehensive explores new third board as part of a multi-level capital market can provide SMEs with new financing channels to promote their better development. Then, the case company’s liquidity, private placement, profitability and other financial measures, improving corporate governance, strengthen internal control profitability, enhance the company’s reputation and other non-financial measures,which to explore SMEs financing effect in new third board. But new third board is still in the early development of the market, there are still financing function, this paper also proposed strategies and recommendations to improve the final results of financing, that SMEs listed new third board is an effective means of financing, new third board has strategic significance to ease the financing difficulties of SMEs, and the prospects for the development of SMEs in new third board were discussed.