The domestic SMEs’ Capital Structure is irrational The main problems lie in three aspects: SME seldom finances from shareholders; the channel of financing from the outsiders is almost exclusive; the proportion of shortperiod debt is too high The influence factors lay inside and outside, and the inside ones are more important In order to meliorate SMEs’ capital structure, the SMEs’ restriction should be carried on by themselves, the capital market should be improved and the helpful policies should be pushed