Research On Pre-IPO Financial Management Standardization Of The Small And Medium-sized Enterprises

The development of the small and medium-sized enterprises, which has always been the focus around the world, plays an important role in promoting the development of the national economy, maintaining the social prosperity, enlivening the market and providing more jobs and is also strong support for the development of national economy. At present, many developed countries regard it as an important strategic task in the process of the development of national economy to develop those small and medium-sized enterprises. It is true of China. Since the reform and opening up to the outside world, numerous different sized enterprises have sprung up. With the increasing development speed, the small and medium-sized enterprises are confined by their scale, fund and specification, thus giving rise to severe difficulties in their development. As the most dynamic form of enterprise organization now, the listed companies have gradually become the development trend for the small and medium-sized enterprises. Compared with the mature IPO system of listed companies in developed countries, Chinese listing environment is still in an immature level, among it, the small and medium-sized enterprises, because of their many non-standard factors, face more difficulties when they try to go public. Therefore, how to find out the existing non-standard problems during the process of the small and medium-sized enterprises’going public and adjust the integrating methods of the standardization in their internal environment, and thus helping them grow rapidly become the main subjects of the present thesis.It is an ideal way to become listed companies if the small and medium-sized enterprises want to accelerate a great leap in their own development. Yet, due to China’s national conditions and the restriction from the special social environment, most small and medium-sized enterprises in China have non-standard problems in the aspects of the financial management, the intra-company management, the legal issues and so on. There are lots of problems of standardization faced by the small and medium-sized enterprises before they go public. The present thesis, mainly from the perspective of financial management, analyzes cases and then solves the related problems of standardization. Applying methods of quantitative analysis, qualitative analysis, literature research and so on, the author analyzed the general non-standard behaviors existed in the financial management of the small-sized enterprises which the author had met during working and then solved some problems such as defective capital contribution, tax issues, defects of contribution, the correspondence between the cash flow and the funds, the not accurate cost accounting, guarantee questions and the right to the use of collective land rent by companies. Based on the analysis of these problems and combined with related literature and laws, the thesis, puts forward some solutions to help the companies to solve those non-standard problems, to go pubic successfully and to get better financing in the context of protecting the interests of investors, thus achieving the goal of a better development. Though scholars have done some work on the pre-IPO standardization of the small and medium-sized enterprises, the literature as well as empirical study on financial management are still far from enough. The present thesis, by combining personal working experience with the literature, solves the non-standard problems.