Research On Financing Problems Of C Company

With the further development reform and opening up of China,the country has undergone enormous changes,among which SMEs have played a crucial role.As the largest and most dynamic enterprise group in China,SMEs have brought more than half of the country's tax revenue,and their gross national product has accounted for more than 60% of the country's total output value.They are the backbone of innovation,and to a large extent relieve employment pressure.However,the asset and scale of SMEs are generally small,the operating conditions are inferior to those of large enterprises,and their competitiveness is not strong enough to resist market risks,thus impeding the healthy development of SMEs seriously.Therefore,research on the financing of SMEs not only has certain theoretical significance,but also has great practical significance.In order to study the financing of SMEs thoroughly,putting forward targeted recommendations.This article use C company as the object.Firstly,we conclude the current research results of domestic and foreign scholars on SME financing,and elaborate the theory of capital structure,transaction cost theory,theory of corporate finance growth cycle,and credit ration theory,laying the foundation for subsequent writing of the article.Second,introduced the company's basic situation,development and financing environment.The core part of the article is the analysis of the status quo,problems,and reasons of this problems.The status of financing is analyzed in terms of financing channels and financing risks.Sources of financing are classified based on internal sources and external sources.Financing risks are reflected in terms of debt repayment ability,operational ability,profitability,and development ability,financial leverage factor method is used for financing risks measuring.Finally,contact the company's actual situation and propose targeted solutions.Research conclusions of this article are as follows: Long-term loan in C company is less,financing channels are less,external financing cost is higher,capital utilization rate is not high,the problem such as development ability needs to improve;Recommend: expanding the exogenous financing channels,improving the level of sales,improving the system of accounts receivable management,bringing in high-quality financial talents,taking measures to solve the existing problems of the construction of the company's credit.The innovations of this article are: first,base on the analysis of relevant financial data of the company,the financing status of C company mainly from two aspects of financing channels and financing risks,has strong targets.Second,the measurement of financing risk is based not only on the company's solvency,operating capacity,profitability,and development capabilities in the past five years,but also on the use of financial leverage to measure corporate financing risk.The combination of methods make the research results more real and reliable.Through the research on financing issues of C Company,the proposed targeted measures can improve the financing status of C Company,helping solve the existing problems in financing,and providing references for other SMEs with similar situations to solve financing problems.