Assessment Of Enterprise Financing Efficiency Based On DEA Model

Financing is crucial for SMEs. The growth of numbers of the small and medium enterprises will most likely be restrained by financing difficulties. The NEEQ market rises as the strong support for SMEs since the market has a strong demand. The NEEQ market draws more and more attention as a new platform to help the financing problems of SMEs. Therefore, the efficiency study for NEEQ then becomes important naturally.By reviewing the general theory of financing and efficiency, as well as the financing efficiency evaluation model, we analyzed current financing situation and existing problems of NEEQ market. We summarized previous financing efficiency evaluation which conducted by DEA model and pointed out the drawback of qualitative selection index. So we innovatively introduced canonical correlation analysis and replaced original input and output indicators by typical variables to solve the omission or duplication of information issues. Based on that, we built index system to evaluate financing efficiency of NEEQ companies and analyzed the influencing factors of corporate financing efficiency on NEEQ market. As for empirical research,1096 companies were selected from NEEQ board as samples for DEA model and came to the following conclusions:(1) Financing efficiency has not reached effective overall, but most of companies are approaching the edge of efficient state. (2) The trend of the financing efficiency of listed companies increases annually. Efficiencies improved gradually with the improvement of market. (3) Companies with high efficiency are concentrated in emerging technology and innovative enterprises. In contrast, companies with low efficiency mainly located in traditional industry. (4) Enterprises mostly located in the stage of increasing returns to scale. Companies should increase investment to achieve economies of scale. (5)As for the strategy to improve efficiency, Companies should focus on adjusting capital structure, strengthening financial management capacity, improve operational capacity and ability to innovate.Finally, in order to help the listed companies to enhance their financing efficiency, the essay we propose the following recommendations based on conclusion: Enterprises should enhance the ability of business operations, optimize the financing structure, increase financial management ability, and focus on technological innovation. Government needs to strengthen the construction of the hierarchical system, improve the market-maker system, smooth rotation mechanism and promote the progress of the registration system.