Construction of Innovation Risk Compensation System for Small and Medium-sized Enterprises

The establishment and improvement of an innovation risk compensation mechanism for small and medium-sized enterprises to effectively promote the development of innovation and entrepreneurship have become the focus of China’s “Mass Entrepreneurship, Mass Innovation” strategy implementation. This paper aims to improve communication between the government, insurance companies, small and medium-sized businesses, financial institutions, and intermediaries to finance subsidies, insurance, and loans, among other things. It uses the supply chain to realize the coordinated compensation for the innovation activities of small and medium-sized enterprises. At the same time, combined with the advantages of big data, a small and medium-sized enterprise innovation risk compensation system is constructed to compensate the small and medium-sized enterprises’ scientific and technological innovation development and risk losses.