The Situation of Financing the SMEs and the Main Constraints on it: A Case Study Under the Global Financial Crisis

摘要

SMEs contribute to the diversity of opportunities in the society and their dynamism stimulates competition and innovation in the economy. However when it comes to the issue of financing small and mid-sized enterprises, this basic problem often troubles the people who are eager to begin their own business. This paper related to existing research literature and aimed to investigate the current situation of SMEs financing in China. The results show that the constraints on choosing financing under the global financial crisis are a mixture of factors including internal and external factors. Thus the solutions could be developed accordingly. A questionnaires survey and interviews are conducted with small business owners in China in order to assess the available sources for financing small enterprises from their perspective.