Research On Mortgage Financing Risk Of Biological Assets Of New Agricultural Business Entities

Development of new agricultural business entities to promote agricultural production scale and specialized, intensive and marketization, the rural economy is the most dynamic and the most promising power. Currently, the new agricultural business entities requires a lot of equipment and human resources and advanced technology in the developing stage, the development of more rely on the support of financial capital and with a strong demand for funds. Financing difficulty has become the main reason for restricting new agricultural business entities development, because of long period of agricultural production activities,long-term of credit funds, financial institutions provide credit terms with its contradictions,and lack of compliance with the requirements of the bank collateral. With policies to encourage rural development and create collateral mortgage financing model, the feature of biological assets easily traded for cash and handled makes it become effective rural collateral,so new agriculture business entities biological assets mortgage financing emerged Practice made certain achievements, but also faces many risks.Combination of economics theory and related literature in China and abroad, on the basis of external environmental characteristics of mortgage financing, detailed description of new agricultural business entities biological assets morgage financing current development situation and existing problems, laying the foundation for empirical analysis. Then, according to the characteristics of new agriculture business entities and biological assets mortgage financing design questionnaire. Through Delphi method and fuzzy comprehensive evaluation method to study the mortgage financing risk of biological assets and the main risk factors.The first part is an introduction. Introduce new agricultural business entities finance and biological assets mortgage financing models relevant background from policy and practice,explain the purpose and significance of basic theory and practice. According to the domestic literature about rural credit and biological assets mortgage, selected research methods and research ideas, then finally summarize contents of this paper, design technical route, and noted that article possible innovation.The second part is the basic theory analysis. From the definition of new agricultural business entities, biological assets and it`s mortgage financing, collateral valuation theory.Based on a clear definition analyze characteristics of new agricultural business entities and it`s mortgage financing, summed favorable conditions about biological assets as a new mortgage financing, combined with the basic characteristics of the biological assets mortgage financing, summarizing major risk factors of new agriculture business entities biological assets mortgage financingThe third part is the new agricultural business entities biological assets mortgage financing current development situation and existing problems. Descriptive analysis of development situation of biological assets, new agricultural business entities and the external environment about mortgage financing. On the basis of current developments, described its problems and obstacles faced.The fourth part is the model building and index selection. On the basis of the domestic and international literature review, according to the main characteristics of the new agricultural business entities and biological assets design risk evaluation factor table, get the evaluation data through expert evaluating method, then using the Multi-Level Fuzzy Comprehensive Evaluation calculate the different risk evaluation index weights and risk evaluation results. At last, the paper instructs and explains the selection of evaluation index and collection of data in detail.The fifth part is the evaluation to new agricultural business entities mortgage financing risk of biological assets. Firstly, combined method of Satty 1-9, organize data using expert evaluating method to obtain risk evaluation matrix, using mathematical and statistical methods to calculate different risk evaluation index weight vector, analysis of influencing factors of new agricultural business entities mortgage financing risk of biological assets.Secondly, use of multi-level fuzzy comprehensive evaluation model, set up risk evaluation set,using expert evaluating method for risk evaluation indexs to select the risk level and formation of risk judgment matrix calculate the final risk fuzzy comprehensive evaluation vector. Positive indicates a higher overall risk of new agricultural business entities biological assets mortgage financing. Finally, analysis the results of the model calculations show that the two main risk type of biological assets mortgage financing risk and borrower`s risk is the primary consideration when analyzing biological assets mortgage financing risk.The sixth part is the conclusions and policy recommendations. In this paper, on the basis of the degree of financing risk and primary risk factors of new agricultural business entities biological assets mortgage enduce a objective evaluation results. Put forward some relevant policing suggestions in the aspects of solve new agricultural business entities financingdifficulties, solve contradiction between financial institution credit supply and borrower`s demand, put some suggestion on promoting the rural economic development. Including that improve the qualities and management ability of new agricultural business entities, innovative financial institutions credit business, improve the ability of financial institutions risk prevention and control, improve the biological assets value evaluation system, perfect the policies and regulations, strengthen risk prevention and control efforts.Results of this study showed that: biological assets risk and borrower risk are the main risk types; financial institutions to deal with the new collateral financing risk ability is not enough; biological assets market regulation system is not sound; biological assets policies and regulations system is imperfect, risk prevention and control efforts.