The Research On The Financial Governance Structure Of Family Enterprises Who Are In Growing Period

Financial Governance is frontier problem of the current financial theory's research, different Financial Governance arrangements directly affect the interests of every governance subject; the balance and rationality of interests further influences the performance and sustainable development of a enterprise. The status of Family Enterprises is becoming conspicuous increasingly in China's national economy. They play an unoverlooked and great role in the employment,social stability and economic growth of Our country. After 30 years' rapid development, Family Enterprises have been to be one of important strengths who promote economic growth and adjust structure. However, in the process of the Family Enterprises' development, there exists many problems to be solved, such as the irrationality of stock equity's to which the highly concentration of financial ownership leads,the bottleneck of human resources and capital in the Family Enterprises to which the unity of two rights leads, and so on. The mode of Family-based financial governance has been not suitable for the requirements of enterprises' development gradually. Therefore, this article is based on the life cycle, and chooses the Family Enterprises who are in growing period as the object to research financial governance structure, aiming at looking for a suitable financial governance structure for modern Family Enterprises, and analyzes the actuality of Family Enterprises' financial governance structure to put forward the corresponding countermeasures and suggestions, hoping to provide guidance for development of Family Enterprises.First of all, this article combines the related theory of corporate governance and financial governance with the theoretical characters of Family Enterprises who are in growing period, to analyze the choice of Family Enterprises' financing governance structure in theory. Based on the research train of thought of the former, this paper divides financial governance structure into two parts: the organizational system of financial governance and the running mechanism of financial governance. Every part includes corresponding contents. For the theoretical analysis on the organizational system of financial governance, this paper includes three aspects: the subject and the object of financial governance, the structure of financing configuration. For the theoretical analysis on the running mechanism of financial governance, this paper includes five aspects: financial decision-making mechanism, financial incentive mechanism, financial constraint mechanism and financial information's generating and disclosuring mechanism, financial governance evaluation mechanism. By analyzing, this article considers that Family Enterprises who are in growing period should get rid of the effects of traditional family thought and kinship. They should set out from the perspective of the maximization of enterprises value and long-term sustainable development of enterprises to change the unilateral family-based financial governance mode, walk the path of multilateral financial governance. Specifically, in the aspect of financial governance organization system, the financial governance subjects should change from simplification to diversification, the rights of finance and the structure of financing configuration should be hierarchical; in the aspect of the running mechanism of financial governance, the family enterprises who are in growing period should change from owner-controlled financial governance mechanism to all-owned financial governance mechanism.Secondly, after the theoretical analysis on the Financial Governance Structure of Family Enterprises who are in growing period, this paper combines relevant information and data to analyze the current situation of financial governance structure of China's Family Enterprises, and then finds the general phenomena which is in the China's Family Enterprises, such as single stock equity structure, the family-based composing of shareholders, concentration of financial ownership and deficiency of the running mechanism of financial governance, etc; and analyses the reasons of these problems.Finally, according to these current situations and the reasons, this article puts forward the corresponding countermeasures and suggestions from two big parts which includes the organizational system of financial governance(the subject and the object of financial governance, the structure of financing configuration, etc) and the running mechanism of financial governance(financial decision-making mechanism, financial incentive mechanism, financial constraint mechanism and financial information's generating and disclosuring mechanism, financial governance evaluation mechanism, etc. ), in order to improve the Family Enterprises financial governance structure.The research method for Family Enterprises financial governance is mainly normative analysis. Duing to the closing of Family Enterprises' information, this article still lack the correlation enough cases, which makes the immature of the research. But this paper tries to study the Family Enterprises' financial governance structure, and also hope to provide research method for the later scholars to study the Family Enterprises' financial governance structure.