Financing Difficulties of Small and Medium-sized Enterprises: Analysis Based on Game Theory Model

Small and medium-sized enterprises (SMEs) are relatively small in scale, irregular in operation, poor in risk resistance and weak in repayment of bank loans. It is common for enterprises to use short loans for a long time and repay old loans for new ones. Many small and medium-sized enterprises set up false financial information to deceive a large number of investors and financing banks, resulting in the misinvestment and loss of a large amount of capital in society. The low performance rate of SMEs has resulted in a large number of bad debts and bad debts in banks. The non-performing loans of SMEs in financing banks are still high. For banks that pay attention to economic benefits, they are not inclined to provide loans for SMEs.In short, SMEs are in a disadvantageous position in the financing process. This paper uses game theory in economics to analyze SMEs' financing behavior, so as to find out the solutions and measures to SMEs' financing.