This paper explores how smart financial systems can empower small and medium-sized manufacturing industries by integrating artificial intelligence, big data analytics and cloud computing technologies to provide customised financial service solutions for the sector. The study outlines the core challenges faced by small and medium-sized manufacturing industries, such as financing difficulties, lagging risk management and operational inefficiencies. The core components of the smart financial system are detailed, including functional modules such as automated credit assessment, supply chain finance optimisation, cost prediction models and personalised insurance product recommendations. This paper proposes strategies to address data security, technology acceptance, and regulatory compliance issues that may be encountered during the implementation process, and emphasises the importance of building a good ecosystem between the government, financial institutions, and technology enterprises to comprehensively support the intelligent transformation and sustainable development of the small and medium-sized manufacturing industry.