Study On The Application Of Financial Leasing In B Group’s Infrastructure Project

Financial leasing as a new financing way, invented in the United States after the Second World War, was field introduced into China in the early 1980’s. The concept of financial leasing in China was put forward by Yiren Rong after the Chinese economic reform in 1978, with the purpose of solving capital shortage, purchasing advanced equipment and technology, and attracting foreign investment. Despite a slow takeoff, financial leasing underwent a rapid development in recent years due to the prosperity and progress of the financial industry. At present, there are more than 1000 various financial leasing company, with more than 300 billion yuan registered capital and 2.35 trillion yuan total business transaction.B group is a large state-owned enterprises responsible for water supply and water work. Because of its large water supply project construction, there is a lack of construction funds and the company decides to utilize financial leasing. This article analyzes B group’s financial leasing, particularly,. in the form of after-sales leaseback, which is intended as a breakthrough point, with the basic information of the B group, financial conditions and operating conditions, from the perspective of the lessor, to evaluate if the lessee can meet the basic requirements of project financial leasing. In addition, through the introduction and analysis of financial leasing scheme, from the perspective of finance lease it studies the benefits of the lessee. This paper details the financial leasing company operating situation and the repayment ability of the various elements, and studies the guarantee ability of the lessee and guarantor. Company that intend to acquire capital through financial leasing funds can compare their own situation to well prepare the work of financial leasing, and to improve the efficiency and success rate.This article also, based on B group case analyses, emphasizes the particularity of urban infrastructure construction and the advantage of financial leasing in the field of urban infrastructure construction, and suggests how to better apply financial leasing in the similar projects. Through qualitative and quantitative analysis, comparing the difference of financial leasing and bank credit financing, this article intends to broaden the financing channels of enterprises’ financing. This paper also points out the problems of some typical cases, such as at present our country still has a lot of enterprises’ cognitive deficiencies, in the form of financial leasing large financial leasing company being overly critical of the project, general financial leasing company cost of capital is higher, less access to capital channel, etc. To solve these problems, this paper respectively gives the countermeasures to solve the problem from different angles, the hope is that these solutions will expand the financial leasing this model to the more big projects including the construction of infrastructure, to guide enterprises successfully completed financial leasing process, with the lowest cost of funds for the enterprise to bring the most practical.At the same time, through the analysis of the case company financial leasing, this article hopes to let the government know the problems in the process of financial leasing, who will therefore accordingly strengthen policy support, through legislation and other means take up the government responsibilities, supervise and encourage financial leasing industry in a smooth and healthy way and contribute to the country’s economic construction.