Research On The Effect Of Venture Capital On Alleviating The Financing Difficulties Of Small And Medium-sized Enterprises

Small and medium-sized enterprises play an important role in promoting market competition,promoting technological progress and national economic development,increasing employment opportunities and ensuring social stability.But in the development process of SMEs,there are still some problems,such as financing difficulties,low management level,lack of talents and lack of innovation,which seriously restrict the healthy development of SMEs.Although the government and society attach great importance to the development of SMEs,a series of policies and measures have been adopted,but they still fail to solve the problems faced by SMEs.Venture capital as a new form of equity capital,after years of development,has a great advantage in solving the financing difficulties of SMEs,provides a good financing channel for small and medium-sized enterprises,to the enterprise product innovation,market development,management innovation,enhance market image and reputation can also provide a good help to accelerate the development of small and medium-sized enterprises.At the same time,small and medium enterprises,the introduction of venture capital,can not only solve the problem of insufficient funds,but also to provide all aspects of value-added services for enterprises to increase the value of enterprises,which can play a positive role in the development of small and medium-sized enterprises.We should also see that China's venture capital development is relatively late,the market size is not big enough,the relevant policies and regulations are not perfect enough,and the exit mechanism is not perfect enough.Therefore,the role of venture capital in promoting the growth of SMEs is also restricted by certain factors.This paper takes the venture capital as a main line to alleviate the financing difficulties of SMEs,which is divided into six parts.The first part is the introduction,which outlines the background and significance of the research,and summarizes the literature review at home and abroad.The second part mainly expounds the concept of venture capital,the course of development,the mode of operation and the definition and development of small and medium enterprises,the significance of developing small and medium-sized enterprises and expounds the financing channels and methods through the theory of financing of small and medium-sized enterprises.The third part,analyzes the causes of financing difficulties from the three perspectives of enterprises themselves,financial institutions and government by introducing relevant theories and theories of SME financing and analyzing the financing channels of SMEs.The fourth part of the mechanism to alleviate the problem of financing of small and medium-sized enterprises of venture capital,venture capital and demonstrate that compared to other small and medium enterprises financing has more obvious advantages;The fifth part introduces the case of SMEs absorbing venture capital in China,and empirically verifies the role played by venture capital in alleviating the financing difficulties of SMEs.The sixth part draws the conclusion of this article,puts forward the existing problems and suggestions.