Debt Financing Risk Analysis And Prevention Countermeasures On Baoding High-Tech Company

With the continuous expansion of the scale of local government debt in China,the debt financing risk of local government financing platforms began to surface gradually,threatening the stable operation of China's macro economy,and forming a certain regional financial burden.In 2017,a number of policies were issued by the supervisory authorities to block all kinds of illegal debt financing channels and strictly control local government debt risks.At present,the relevant case studies of China's local government financing platform companies obviously lag behind the development needs of financing platform companies.Through studying the debt financing risks of local government financing platforms,it is helpful to enrich the debt financing of local government financing platform companies in China.Risk research cases,on the other hand,have certain practical implications for the control and prevention of debt risk of platform companies.Therefore,this article takes the debt financing risk of Baoding National Hi-Tech Industrial Development Zone Co.,Ltd.(abbreviated as “Baoding High-tech Co.,Ltd.”)as the research object to explore the effective response and prevention of debt financing risks of the platform company in China.This article uses the literature research method and the case analysis method to analyze the debt financing risk of Baoding High-Tech Company.By analyzing the performance of China's local government financing platform and its debt financing risk,the analysis results show that Baoding High-tech has caused great financial pressure due to large debt repayment pressure,insufficient operating capacity,large fluctuations in cash flow,and weak main business growth.Debt financing risk.At the same time,due to the fact that its debt repayment relies on the financial strength of Baoding High-tech Zone and the debt solvency risk it brings to the company,combined with the micro and macro levels of the debt financing risk,this article has summarized and analyzed the countermeasures for Baoding High-tech Company: The first is to explore multi-channel financing;the second is to strengthen the platform company's financial risk prevention;the third is to improve the company's profitability.