Study on Financing Risks Evaluation System of Private Lending to SMEs Basing on FAHP

Small and medium enterprises, as an increasingly important role in China's national economy, have difficulties in obtaining finance from formal financial support. So private lending becomes the main choice of the majority of SME financing at this stage,but financing risk should not be ignored. This article is to guard how to be against and control private lending financing risk from the small business itself. It first selects the relevant indicators to establish risk assessment index system and then uses fuzzy analytic hierarchy process (ahp) to determine the index weight and finally evaluates risk level. All in all this paper is trying to provide a method of reference to help the small and medium enterprises to acquire timely identification, accurate evaluation and effective control of financing risk. Index Terms small and medium-sized enterprise, private lending financing, risk evaluation, fuzzy analytic hierarchy process