Enterprise Financial Risk Prevention Methods Applied Research

The financial risk is the possibility of which the corporation will suffer some risk during all financial activities. Because of the influence of all kinds of unsuspected and uncontrollable factors, the financial situation is always full of uncertainty. In a market economy conditions, the more intense market competition, enterprises are faced with the risk greater. It can be said that the financial risk and financial returns are positively correlated. Prevalent in China's listed companies greater financial risk,not only endanger and one's own existence and development but also bring enormous loss to investor; creditor.Therefore,the financial operations of the business crisis signals, forecast the company's future financial position, So as to realize maximum financial results and financial position optimized to achieve the curb negative developments, reducing the risk of losses, improve the company's economic efficiency, Both for operators; investors, creditors, government or other relevant stakeholder have a very important practical significance. This essay in the field of early warning predecessors on the financial risk lies on the basis of research results. Financial risks at home and abroad the status of early-warning mode for the analysis and evaluation. We pointed out that China's financial Risk early warning problem in the institute. Systematic analysis of the financial risk of listed companies to form the specific reasons for the financial risk early warning model to explore the establishment of the principles and requirements. And the actual situation of China's listed companies, from improving corporate governance mechanisms. Strengthening financial early warning system put forward the follow-up management of the company's financial risk prevention measures and suggestions.