Research On The Financing Choice Of Company B Company

At present, with China’s economic growth slowed and prosperity is not in real estate industry, building decoration industry in China has experienced rapid development, also entered the industry adjustment. Industry enterprises accumulated some problems also gradually exposed before: building decoration project payback periods is generally long, with real estate recession, most of the enterprises in the industry have a slowly project receivable, a tight cash flow and the lack of funds. They need financing; because of the private enterprises under the macro environment of the economic downturn, have the low ability to resist risks, with financing difficulties. B company is a private building decoration enterprise, is also facing a single financing channel and the problem of financing difficult. Based on corporate finance theory, combined with architectural decoration industry development present situation and B company actual situation, illustrates the B company to expand the financing channels, the necessity of selecting reasonable financing. Then, we combined with the current and future funding requirements of B company, get the three combination financing options, use of the analytic hierarchy process to compare analysis with three schemes. The final optimization for B company is the combination plan bank loans and bond financing. Author detailed design a plan of bond financing solutions. In this paper, the research results, is to expand other private building decoration enterprise’s horizon of financing field, change how it used to depend on bank loans of a single, has a certain reference significance.