Research On The Motivation And Financial Performance Of Equity Crowdfunding Of Huarentiandi Company

Since the reform and opening up,China's economy has developed rapidly.As an important part of China's economic structure,Small and medium-sized enterprises play an inestimable role in promoting the progress of market economy and national economy.They not only alleviate the employment pressure in China to a certain extent,but also maintain social stability.After China has entered the "new normal" of the economy,the GDP growth rate has been slowing down,and the contradiction in industrial structure is prominent.The development and growth of small and medium-sized enterprises have become an important pole for China's economic strategic transformation.At the same time,in the era of continuous improvement of people's living standards,material life has gradually been unable to meet people's needs.It has become a trend to meet spiritual needs through cultural consumption,which drives the healthy and rapid development of China's cultural and creative industry.Cultural and creative enterprises are sunrise industries in China,most of which are still in the initial stage and relatively small in scale.Therefore,these small and medium-sized enterprises are faced with many problems in the development process.The biggest problem is financing.The high financing cost and low financing efficiency have attracted the attention of scholars.In the interest of small-business finance,there have been two emerging models in recent years: on the one hand,with the wide application of the Internet,the emergence of the Internet stock market,which is based on the low threshold of the stock market,low financing costs,and the efficiency of efficiency,the emerging financial form has been a strong supplement to the financing channels of small and medium-sized enterprises;On the other hand,the National Equities Exchange and Quotations(NEEQ),as an extruded market in China's multi-level capital market structure,has developed rapidly in recent years.Tens of thousands of small and medium-sized enterprises have realized their initial financing in the capital market through the sme share conversion system.The expansion of the NEEQ not only changes China's current capital market system with inverted pyramid structure,but also provides support for China's economic restructuring,industrial upgrading and economic growth.If equity-based crowdfunding is combined with the NEEQ,the high efficiency and low threshold of equity-based crowdfunding are utilized to solvethe problem of fund sources,and the access and exit mechanism of equity-based crowdfunding is improved in the NEEQ,it will provide a new possibility for smes to solve financing problems.Based on this,the author used the methods of literature research method,case analysis method,comparative analysis method and other methods to discuss the new financing mode combining the NEEQ and equity-based crowd-funding by analyzing the motivation and financial performance of the equity-based crowd-funding of the typical small and medium-sized cultural and creative enterprises,by using Huarentiandi company as an example.Firstly,starting from the financing difficulties of small and medium-sized enterprises,the paper sorted out the financing difficulties and solutions of small and medium-sized enterprises in a logical order,the concept and operation mode of equity-based crowdfunding,the motivation of enterprise equity-based crowdfunding and financing performance of the literature,and introduced the relevant theories,which laid the theoretical foundation for the paper.Next,the thesis discusses and analyzes the case of equity crowd-funding on the NEEQ of Huarentiandi.Through dupont analysis and analysis of various financial indicators before and after crowd-funding,the thesis draws a conclusion about the difference in financial performance before and after equity crowd-funding of Huarentiandi.This paper also analyzes the stock price changes before and after the equity-based crowdfunding of Huarentiandi by using the event research method,and then draws a conclusion about the non-financial performance changes before and after the equity-based crowdfunding of Huarentiandi.It can be seen from the financial performance analysis that,while conforming to the Internet innovation and inclusive finance,equity-based crowdfunding on the NEEQ is of great guiding significance for solving the financing difficulties of small and medium-sized enterprises,and is a new financing model worthy of promotion and reference.At the same time,this paper also puts forward the disadvantages of equity-based crowdfunding in the NEEQ and reasonable Suggestions,hoping that equity-based crowdfunding can better develop to help small and medium-sized enterprises to develop and grow.