How smaller businesses can tap financing was a key issue at the 2012 APEC SMEs Summit.

Wang Hong runs a vegetable exports company. A short while ago she was forced to refuse an order for garlic from a foreign client, as it was tough for her to access financing to purchase the garlic in such a short time. She had to let this chance go.

Wang Hong said, "At first the client ordered 20 boxes. Later, he wanted to increase them to 50. Every box means profits and the extra order may bring millions in profits for the company. But I don't have enough money to collect more garlic. It's bad that I can't make it."

Wang once tried to finance through banks, but the bank said she was not qualified. And she is not the only one feeling the pinch, the lack of financing options has become an urgent problem facing small and medium-sized enterprises in China. The APEC SMEs Summit, held in South China's Hainan province in recent days, has put it on top of their agenda.

Gu Shengzu, member of NPC Standing Committee, said, "According to our research, the financing cost for SMEs is as high as ten times the return on investment. The best return on investment could reach 3%. However, the financing cost can be as high as 30%."

Experts say that the financing application procedures need to be simplified. Small banks and community banks should provide more capital for SMEs to reduce their financing cost. Moreover, experts say, E-commerce is also a good option for start-up companies.