Chattel Financing: Paradigm and Practice
Chattel finance fits for asset structure of small and medium-sized enterprises which lack of the real estate and rich in the chattel which results in various innovation patterns in practice. Based on the interpretation of chattel financial operating theory, the paper finds that chattel finance improves the financing efficiency by focusing on fragmentary information of small and mediumsized enterprises,incentivising various professional organizations to be active in their professional fields and control risk by monitoring chattel, prompting the emergence of financiers and professional organizations. OTC market based on the control equity of small and medium-sized enterprise attracts all kinds of participating institutions. To integrate the financial resources to explore new modes of chattel finance, regulatory policy should also follow the chattel financial operating theory and weaken constraints of chattel finance in OTC market.