From the perspective of supply chain finance,business ecosystem and network theory, and based on the energy conversion mechanism of dynamic capabilities, this research explored the effective approach for SMEs to use the business network and capabilitiesto enhance their financing performance. Research suggested that there were two processes for SMEs to use healthy business network to improve their financing performance, i.e., joining in a healthy business network helps SMEs to improve their ambidextrous capabilities, which in turn helps to improve their position in the business network, and ultimately contributes to the improvement of their finance performance. Based on the survey data of 295 SMEs in China's manufacturing sector, this research proved the chain mediating role of ambidextrous capabilities and network embeddedness in business network health and SMEs'financing performance.