Xian Video Monitor Project Investment DX Company Research Budget

The enterprise can not only reap the benefits through the project investments, but also obtain the cash flow. An investment is influenced by various factors, a successful project investment needs good project management, and the project investment analysis is crucial before investment at the same time. In a project investment, it needs the detailed investigation and study, and a scientific scheme of investment budget, which makes the project operation controllable and adjustable. Project investment is inseparable from the capital investment, different ways of investment and investment strategies will produce different effects to the follow-up project operation. In general, project investment capital originates internal financing and external financing. Endogenous financing is the main source of the project investment, which comes from operating cash flow of the enterprises. Namely, the enterprise cash flow income is used to invest the new projects. External financing consists of two ways, equity financing and debt financing. Two kinds of raising capital mode are of its own characteristics and advantages. The enterprises should comprehensively consider their own conditions and the actual situation of the project, and then choose the most reasonable investment. Each project investment risks on the failure, which is not unwilling to seen for both the individuals and enterprises. Especially for listed companies, each investment has increased the need for caution. All enterprise investment decisions must think shareholder value creation as the fundamental purpose, ensuring that each project can be completed in established returns. There is no an optimal investment decision, but the most reasonable project right now. Only when the sufficient fund is placed on the most suitable project, the best return is achieved.In this paper the authors involved in Xi’an DX video monitoring project implementation process, the project is characterized by huge investment, construction of high complexity and tight time. The heavy investments of the equipments and lines in short time give huge pressure on the cash flow of enterprise. As a state-owned listed company, limited by many institutional, the cash investment ability of the enterprise cannot match the project investment. Based on past experience and the actual operation of current industry, the enterprise chooses the "Finance+lease" mode to project investment, which is proved to be a project investment thinking by the practice. This article studies two investment patterns, the enterprise wholly owned investment (endogenous financing) and " Finance+lease"(i.e., through the external financing and the third party company income division, and the lessee to lease contract construction). The scientific evaluation is made through three index of the net present value, internal rate of return, the profitability index. Finally,"Finance+lease" can effectively reduce the risk of investment budget, improve the profitability of a project, and greatly promote the enterprise cash flow growth. The research results further illustrates that using the "Finance+lease" model for project investment operation is scientific and rational investment choice in the high input information integration project.