Traditional Culture Encyclopedia - Traditional customs - What should be the main financing channel for small and medium-sized manufacturing enterprises?
What should be the main financing channel for small and medium-sized manufacturing enterprises?
Indirect financing. Small and medium-sized manufacturing enterprises should take indirect financing as the main financing channel. Indirect financing means that there is no direct relationship between capital surplus units and capital shortage units, but independent transactions with financial institutions, that is, capital surplus units first provide their temporarily idle funds to these financial intermediaries, and then these financial institutions provide funds in the form of loans, discounts, or by purchasing securities issued by units that need funds.
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