The Research On Financing Problem And Countermeasure Of Guangxi Forestry Group Company Limited

Forestry is the foundational industry in the national economy, which has been rapid development with expanding domestic demand and urbanization. Forestry enterprises in Guangxi ushered in a booming time since the impact of related policies of China’s Western Development Program, Pan-Beibu Gulf Economic Zone and the China-ASEAN free trade area. However, because of the characteristics such as long period in silviculture afforestation, seedlings to pay advances and short-term funds appear mismatches, Forestry enterprises need to advance funds usually. Fierce competition in forestry market led to lower profit margins and slowly accumulated inside forestry enterprises. the bad financing channel, single-channel financing and financing difficulties, resulting Forestry enterprises operation funds tight and hindered forestry enterprises survival and development.In this paper, the theory with practice, specific case studies with combining financing theory in current company. Using Guangxi Forestry Group Co. Ltd as example, through analyzing its financial statements in recent years, get the argumentation to its capability of long-term and short-term solvency and asset management. Taking a detailed analysis of recent financing structure, draw finance problems and take depth analysis, and then propose concrete solutions. Though the study of financing problems in Guangxi Forestry Group Co Ltd,. Provides Financing decision making for its managers, at the same time, find the suitable financing method and solution for forestry enterprises in Guangxi.