The Warning Default Models of SME for Financial Institution and SMEG

• Main Authors: Cheng-Chen Lin, 林政辰
• Other Authors: Cheng-Yi Shiu
• Format: Others
• Language: zh-TW
• Published: 2016
• Online Access: http://ndltd.ncl.edu.tw/handle/24148512368676636270

碩士 === 國立中央大學 === 財務金融學系 === 104 === The goal of the paper is to examine the factors that affect the small and medium enterprises (SMEs) to occur default events. Besides, the paper also attempts to develop useful models to forecast the default rate of SMEs in advance. Because the sizes of SMEs are lower than big enterprises, they don’t have enough collateral to borrow money from banks. And “the third party”, Small and Medium Enterprise Credit Guarantee Fund of Taiwan (SMEG), will provide SMEs with “credit guarantee” to enhance their ability of financing. If the SMEs can’t fully pay the interest expenses or loans to the banks, SMEG must to substitute SMEs to pay the borrowing money to the banks. SMEG will charge SMEs, which receive the service of credit guarantee for guarantee fee (annual rate). However, due to the low guarantee fee rate, SMEG faces the problem of financial gap - its revenues couldn’t cover its payments. The paper develops warning default models for related credit agencies or institutions. Also, the main finding is that “guarantee coverage percentage”, “total amount of guarantee loans”, “the type of banks” and “the size of the banks”, etc. reflect the default rate of SMEs.