So far, China has more than 10 million small and medium-sized enterprises registered with the industry and commerce, accounting for 99% of the total number of enterprises in the country. Small and medium-sized enterprises contribute 60% and 40% to GDP and fiscal revenue respectively, and provide 84% of employment for the society.

Chance.

However, compared with the rapid development of my country's small and medium-sized private economy, the mismatch between the financing status of the small and medium-sized private economy and its status has become a major conflict in the development process of small and medium-sized private enterprises.

According to data from Haitong Securities Research Institute, 80% of small and medium-sized enterprises lack funds, and 30% of small and medium-sized enterprises are very strapped for funds.

Current situation: The sources of funds for small and medium-sized private enterprises in my country mainly come from three aspects: bank loans; government support; and the enterprises themselves.

(1) Bank loans From the perspective of banks, although small and medium-sized enterprises are more dependent on banks, they receive a smaller share of loans from banks. Many small and medium-sized private enterprises have difficulty in obtaining bank loans even if they have good projects.

Bank loans account for only 6% of the long-term funding sources for small and medium-sized private enterprises in Shanghai.

The credit funds of financial institutions are mainly invested in large state-owned enterprises. Since it is difficult for many small and medium-sized private enterprises to obtain bank loans, they sometimes have to resort to private loans at high interest rates, which has caused numerous debt disputes.

From an enterprise perspective, financing costs for small and medium-sized private enterprises are relatively high.

Increases in loan interest rates reflect the systemic obstacles in financing for small and medium-sized private enterprises. On the other hand, they also illustrate the overall poor operating performance and low financing credit of small and medium-sized private enterprises.

In addition, although various places have issued "Several Provisions on the Management of Loan Credit Guarantees for Small and Medium-sized Private Enterprises" and arranged loan credit guarantee funds for small and medium-sized private enterprises.

However, due to the stringent conditions for the guarantor's asset mortgage and the company's own credit guarantee, it is difficult for many small and medium-sized private enterprises to enjoy the preferential policies.

According to the survey, the number and amount of loans currently issued by small and medium-sized private enterprises according to the current regulations on loan credit guarantees are far from the actual demand for loans by small and medium-sized private enterprises.

(2) Government support Internationally, the main means of government support include financial subsidies, government procurement, tax incentives, credit guarantees, venture capital, financial services, etc.

As far as our country is concerned, the first three items are widely used, and these points will be discussed in detail below.

Financial subsidies are provided to small and medium-sized enterprises that are technologically advanced but have short-term losses as assessed by national or local science and technology committees and expert groups, are in line with national industrial policies, are technologically-based small and medium-sized enterprises in the entrepreneurial stage, and are in the field of innovation. The government can provide considerable subsidies.

A certain percentage of the investment amount is a subsidy or subsidy to increase investor confidence.

For industrial sectors that are in line with the direction of state-owned asset investment, the government can directly invest capital in small and medium-sized enterprises belonging to such industries, or participate in the enterprises as shareholders.

Regardless of the form of financial subsidies, they are direct financial support given by the state to small and medium-sized enterprises, and they are direct, authoritative, and effective.

However, due to the lack of institutional factors, small and medium-sized enterprises are overly dependent on state finance, the regulatory role of the market is reduced, and the functions of small and medium-sized enterprises are also inhibited to a certain extent.

Government procurement policies are essentially protective support policies.

Through government procurement, we can expand the market share of small and medium-sized enterprises to achieve the goal of expanding production and promoting development.

Through publicly released government procurement bidding information, standardized bidding procedures, scientific and strict evaluation systems, etc., we will create prerequisites for equal participation in competition in the field of government procurement for small and medium-sized enterprises, and give small and medium-sized enterprises more and fairer opportunities.

Chance.

Since this is a tilted industrial support policy that strictly follows certain principles in specific operations, a series of quantitative standards are required to ensure the transparency and openness of the policy.

In actual operations, we should avoid the existence of "multiple management" and "local protectionism" and ensure that policies are implemented in place.

Tax incentives are a common practice in various countries to support and protect the development of small and medium-sized enterprises and enhance their financing capabilities.

my country's current corporate income tax adopts a unified proportional tax rate of 33%. However, many countries in the world currently adopt differential tax rates, that is, a policy of low tax rates for small and medium-sized enterprises and high tax rates for large enterprises to reduce the unreasonable burden on small and medium-sized enterprises.

Especially for high-tech small and medium-sized enterprises, a tax credit policy can be implemented for the reinvested portion of their profits.

Appropriate business tax reductions will be levied on small and medium-sized enterprises related to high and new technologies, and appropriate personal income tax reductions and exemptions will be given to scientific and technological personnel of small and medium-sized enterprises.

The establishment of the capital market system and the deepening of financial reform require government support to establish a complete risk investment mechanism to reduce the capital gap of small and medium-sized enterprises.

Building a multi-level capital market system is an inherent requirement and inevitable choice for broadening the financing channels of small and medium-sized enterprises, and building a small and medium-sized enterprise sector is the primary link and entry point for establishing a multi-level capital market system. It will not only help alleviate the financing difficulties of small and medium-sized enterprises, but also Moreover, it can improve the functions of the capital market and thereby enhance the comprehensive competitiveness of my country's capital market.

The credit guarantee policy is for the government to take the lead in establishing a credit guarantee fund for small and medium-sized enterprises to create a stable source of funds.

Develop into a guarantee system with society and enterprises as the main sources of funds.

Credit guarantee institutions take the form of government-funded guarantee organizations, and banks provide supporting special loans. Their operation can be carried out by entrusting the management of commercial banks or investment companies selected by the government and the establishment of policy financial guarantee institutions; the second is by the government, enterprises*

**The guarantee institution established with joint investment implements a membership-based operation model.