A Study On Financial Risk Early Warning In D Landscape Company In PPP Project

Since 2014,China has begun to vigorously promote the PPP model,and now PPP has entered the operational specification year.In recent years,the PPP model has gradually improved in China,the legal system has been continuously improved,and the project has been accelerating.Some companies have seized this opportunity to make full use of the advantages of PPP and accelerate the project,but they are facing some problems.Due to the large amount of uncertainty in the PPP business model,such as large investment,long cycle and high risk,this type of company has a higher probability of financial risk.However,due to the short implementation time,the financial risk research of such enterprises has not yet been deepened.In this paper,D Landscape Company is selected as the case company.It is a leading enterprise in the industry,but in recent years,its business model has caused risks in equity pledge.Selecting the company as the research object,it can serve as a reference for other PPP business model related enterprises.This paper first summarizes the concept of financial risk,and then combined with the case analysis method,according to the actual situation of D Landscape Company,the use of comparative analysis method combined with the company's financial data on the company's financial situation and the company's risk to do a brief analysis.Then,according to the characteristics of the PPP business model,13 financial indicators are selected to construct the risk early warning index system,and the financial risk early warning model is constructed by using the Analytic Hierarchy Process(AHP)and Fuzzy Comprehensive Evaluation.According to the financial data in 2017 and 2018,the financial risk warning result of D Landscape Company was obtained and compared with the actual business situation of the company to test the effectiveness of the model.At last,the paper puts forward some countermeasures to solve the risks for D Landscape Company,including optimizing financing channels,rationally planning investment,strengthening the recovery of accounts receivable and strengthening internal control,etc.,and makes a detailed elaboration to avoid the occurrence of financial crisis,solve the current problem,and improve the operation efficiency of the company.