Study On Cash Flow Management Of SMEs In China

With the constant improvement of China’s market economy, small and medium-sized enterprises occupy very important position in our national economy, especially they create more jobs. It has gradually become one of the most important parts of national economy, and also an important power to promote the development of the society. Meanwhile, small and medium-sized enterprises will still be the most dynamic economic organization of economic development in a long period of future. Although small and medium-sized enterprises have good prospects for development, they still encounter a lot of "bottleneck" problems in the process of development,"short life" for most of the small and medium-sized enterprises are typical one. The reason for this problem is that the enterprise did not control financial risks actively and effectively, and then evolved into financial crisis and end with enterprise declining. While the main inducing factors of enterprise financial crisis is critical cash flow management, therefore, research on small and medium-sized enterprise cash flow management is very necessary and practical.Based on the importance of small and medium-sized enterprises in the national economy, the thesis strengthens the necessity of the research background of cash flow and cash flow management. Firstly, this thesis will summarize home and abroad current status of cash flow management, and put forward the practical significance of the thesis writing. Then it will explain the basic connotation of the cash flow, cash flow management of role and position in the small and medium-sized enterprise financial management. At the same time, it will analysis present situation and existing problems of small and medium-sized enterprise cash flow management. Finally, this thesis will give the solutions of different operating, investment and financing to solve the problem of cash flow management that small and medium-sized enterprises encounter in each life cycle. The small and medium-sized enterprise should give full consideration to its stage of development, and adopt different measures of cash flow management in different life cycle stage. In this part, the thesis will analysis the real case, and the case study will reflect the cohesion between this thesis and the reality of cash flow management in small and medium-sized enterprise, and practically put forward measures and countermeasures to strengthen the management of cash flow.