The Motivation And Effect Analysis Of Aebell Company's Private Equity Financing

In recent years,small and medium-sized enterprises of our country is developing rapidly,but there are many factors restricting the development,which is the greatest obstacle to their difficulties in financing.And traditional financing options,such as enterprise internal financing,bank loan and so on can't satisfy these enterprises' present development situation.Due to legal restrictions and financing cost is high,the emerging of folk financing can't solve the difficulties.In this case,the private equity financing gradually accepted by small and medium-sized enterprise,it's not only lower the cost of financing,help enterprise raise large amounts of money in a short time,but also bring the scientific management model,rich experience in capital operation,market channels and brand effect,so effective to improve the governance structure in a relatively short time,revenue and cost structure of enterprises and improve core competitiveness,enhance corporate value ultimately.However,the whole process of private equity financing is quite complex,from the initial idea of financing,to negotiate,to the agreement of financing,to quit the entire process,all need to go through numerous links,and each link exists the possibility of failure.Moreover,China's private equity financing is still at an early stage of development,many implementation details are still groping process,but because of Small and medium-sized enterprises' own limitations,the risk will be greater than that of some other companies.Therefore,the research of private equity financing motivational is very meaningful to small and medium-sized enterprises.Meanwhile,after the introduction of a number of private equity financing for small and medium-sized enterprises,not all companies got better financing effect,some small and medium-sized enterprises lost control of their enterprises because they don't reached the terms of the bet,some small and medium-sized enterprises developed rapidly because of leaving a good strategic investor.Therefore,analysis the effect of the introducing of private equity financing for small and medium-sized enterprises also has practical significance.This paper summarizes the domestic and preconditions on the motivation of private equity financing,risk and financing environmental studies,the analysis of the theory of private equity financing,including the concept of private equity financing,characteristics,types and participants and basic theory.On this basis,I choose the case of Aebell's private equity financing,in-depth analysis of various aspects of motivationby Aebell's private equity financing and the effects,draw the appropriate conclusions and implication for small and medium-sized enterprises' private equity financing.In this paper,the research combined normative research and case analysis.In normative research,current research of this paper analyzes the basic theory of private equity financing,including the principal-agent theory,asymmetric information theory,transaction cost theory,and pointed out that the concept of private equity financing,characteristics,classification,participants theory foundation.In the case study,through elaborate the background and process of Aebell's private equity financing,analysis Aebell's financing motivation and the effect,analysis each reasons of Aebell's successful private equity financing,I got some conclusions:the success of private equity financing needs right investors,reasonable financing plan,assistance from agencies.It deepened the understanding of private equity financing,seeks to provide examples to support the study of private equity financing for Small and medium-sized enterprises.This paper is divided into five parts: The first part is to introduce the background and significance of private equity financing,summarizing research achievements at home and abroad on private equity financing,research ideas and methods.The second part state private equity financing from its concept,characteristics,classification,affiliates and basis theoretical.The third part introduces backgrounds and process of two round of Aebell's private equity financing.The fourth part analysis the motivations,effects and reasons for the success of Aelells' private equity financing.The fifth part summarizes the case and get implications to the entire private equity financing for small and medium-sized enterprises.