Financing Problems of Private Enterprise

【前言】Financing Problems of Private Enterprise由文秘帮小编整理而成，但愿对你的学习工作带来帮助。financing difficulties 2.1 From private enterprises to analyze their own quality Use and ownership information to establish credit and funds on the basis of a temporary separation or conditional alienation is the biggest difference between financia...

Abstract. In order to promote the rapid development of private enterprises， for their financing problems arise， the paper analyzes the causes of the problem and proposes targeted relevant suggestions. It also called on governments， and banks and private companies such as itself should work together to create conditions suitable to open up new financing private enterprises.

Keywords： Private Enterprise， Finance， Guarantee

1. Introduction

Private enterprises in the adjustment of economic structure， develop the local economy， increase revenue and expand employment and other aspects of society play an important role. However， private enterprises in total bank credit assets， the ratio of non-state sector invest less than 30%， more than 70% of bank credit by the state sector still use （direct financing services are mainly state-owned enterprises on the stock market）， private manufacturing poor corporate financing channels， shortage of funds has become a constraint to further development of the private manufacturing enterprises "bottleneck."

2. Cause analysis of private enterprise

financing difficulties

2.1 From private enterprises to analyze their own quality

Use and ownership information to establish credit and funds on the basis of a temporary separation or conditional alienation is the biggest difference between financial transactions and general commodity trading. Individual a sense of private manufacturing enterprise credit， malicious acts of evasion of bank debt， bankruptcy， etc. using false Piandai， fled when the loan and other phenomena occur， the financial system is not perfect and duplicate accounts， create multiple sets of books for the tax， banking and other units， a serious distortion of accounting information， the bank can not be based on the company's financial statements for the basic operations and the financial position of the judge， it is difficult to grasp the lending decisions of private enterprises， the impact of bank loan investment.

Private manufacturing enterprise assets is highly concentrated， more than 80% of average assets concentrated in one person entrepreneurs， financial management of 90% of control in family hands. Single ownership structure leads to business operations are not standardized， not conducive to play professional managers manage talent， and influence the further development of enterprises. Banks worried that private manufacturing companies do not follow the scientific program operating decisions， resulting in recovery of the loan can not be scheduled， so the bank managers to increase efforts to prevent this risk.

Currently， private manufacturing enterprises irrational industrial structure， most are still focused on traditional industries， technology， equipment behind the low level of production， technological innovation and slow， poor product quality， weak competitiveness， product similar serious， many companies products are also belonging to industrial policy explicitly eliminated or prohibited object development. In the management is still a "family" management style， low management level， the lack of highly qualified management and technical personnel， the ability of the market to grasp the difference. Privacy-style financial accounting system， personnel system of cronyism， absolute obedience-style management system， resulting in enterprise management level is difficult to achieve bank credit access conditions.

2.2 From the external economic environment to analyze the financing of private enterprises

State-owned commercial bank is lack of effective incentives. State-owned commercial bank credit policies in recent years made a major adjustment， the loan approval authority to close the grassroots lending authority is very small， difficult to timely and effective manner to meet the credit needs of private enterprises. Commercial bank credit overemphasizes zero risk； often at the grassroots level line lending conditions apply for additional loans.

Sources of private investment funds， mostly of its own funds are generally weak financial strength of individual and private enterprises. Currently individual and private enterprises to issue bonds， stocks relatively difficult； credit loans guaranteed by unresolved issues and difficult operation； mortgage loans due to the urban majority of private enterprises， "two certificates" （real estate license， land certificate） unresolved and blocked. In addition， the district （county） City of specialized banks mostly fixed asset investment loans no right to approve， for working capital loans， there are strict limitations that are difficult to meet the financial services needs of private investment throughout the enterprise.

The commercial banks lends to private companies manage the high cost of manufacture. Commercial banks in lending to the private manufacturing companies before， you need to spend a lot of time， manpower and financial resources to investigate financial and credit status of private manufacturing enterprises， in order to determine the enterprise's ability to repay. After signing the financing contract， commercial banks also need to supervise private manufacturing enterprises， in order to prevent or eliminate moral hazard， which is a greater transaction costs for banks.

Low social status of private manufacturing enterprises， state-owned economy has not obtained with the same "national treatment." Due to the long-term impact of the planned economy and the traditional sense of the financial sector to the non-public enterprises cannot be treated equally， fear of problems affected. Is worried about the loan obligations， in particular on the performance of the operation as much as possible to limit the amount of loans to the private economy， lending complicated procedures， mortgage harsh conditions， collateral requirements are too stringent and low mortgage rates.

The loan guarantee mechanism is not perfect. SMEs lack collateral， collateral is difficult to implement and less willing to provide security services to private enterprise organizations， small-scale funds， and guarantee agencies in order to prevent the risk of decompensating and often require companies to provide counter-guarantees， so that the loan guarantee mechanism without running into ending cycle of state， leading enterprises not only loans， it is difficult to find guarantees， credit activities into a "death cycle."

3. Financing strategies of private enterprises

3.1 To improve their quality of private enterprises

Correct use of "two-factor" theory of the short-term management， staff management must be considered from a purely "health" factor， more to the "incentive" factor changes. Private owners to employees through career potential and skills development to help employees find the point of career development and business development， so that enterprises become more cohesive.

Many private enterprises have recognized the shortcomings of family management mode， trying to sound reasonable management mechanism. Design and management of human resources by way of the modern corporate system， the distribution system in the enterprise， carried out by experts incentive pay system design， from a focus on business planning objectives to guide the formation of an effective performance， performance evaluation and counseling to improve system performance and the establishment of incentive compensation in order to adapt the system， personnel training and development plan system， staff retreat promotion system.

3.2 The adjustment and improvement of the banking system to strengthen the safety management

Existing Chinese commercial banking system in the National Bank continued high degree of monopoly situation， a serious shortage of the number of private small and medium commercial banks. This structure not only severely reduces the financing efficiency， the impact of the development of private SMEs， increase financial risk， and to the risk of highly concentrated in the central government. Financial community service model should be created like rural credit cooperatives， so that local financial institutions to small and medium-depth services to many local private enterprises， the formation of companies and financial institutions "win-win" situation.