Abstract

In recent years, the financing difficulty of small and medium-sized enterprises (SMEs) in China has become the main obstacle to the development of SMEs[1]. So, it has received a lot of attention. In early 2016, China supported the implementation of supply chain finance to alleviate the contradiction of financial resources in China. Reverse factoring, as one of the most popular tools, has recently developed rapidly in China. This paper mainly studies the reverse factoring financing mode in the online supply chain finance. And based on this analysis, the advantages and functions of the model are analyzed and compared with the traditional financing mode. And this paper also puts forward the risk of this mode and puts forward some suggestions for the business.

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