Local Financing Platform For The Company's Market Transformation And Risk Prevention

China’s local governments are forbidden by law to get governments’borrowing. In most cases, they incite their own corporations of financing platform to get the bank lending. As the result of this situation, the corporations of financing platform heavily in debt till now. This article point out this problem and give a new definition of CORPORATION OF FINANCING PLATFORM then. Enormous pressure of the debt shows the huge crisis of those corporations.The crisis comes from, no doubt, the chaos of the management, including the credit bound between the governments and their corporations, out-of-sequence of the management of the property, the out-of-control of HRM. That whether the corporations can pull through, and even catch the grab the opportunity of reformation, is the key point of this article. In my opinion, the core problem of the corporations of financing platforms’reformation, is separating government functions from enterprise management. Only the separation can ensure corporations really involve with market activities. But first of all, to reduce the debt is the question of reality which corporations have to face. The author propose some methods, just like making judgment for non-profit property of the projects corporations invest to, asset securitization, ownership structure reform, and so on. Then the author provide a group of utilities to assist the marketization of corporations. In the box of utilities, we can find a "9seetion analysis" to evaluate the status of the corporations in a creative way, the strategy thinking under the SWOT method, and how to choose nght managers for the corporations. Finally, the author give an example from the Urban Construction Group Ltd of the city C.