Research On The Risk Control Mechanism Of Policy-based Technology Financing Guarantee Companies

Over the past three decades,the financing guarantee industry has become a vital bridge between Banks and SMES(small and medium-sized enterprises).Policy-based financing guarantee companies have make great contributions to the guidance of government's policy,solutions to SMES financing and support to the development of emerging industries.Some Policy-based financing guarantee companies focus on the high-tech companies with light asset,high technology and high risk.Therefore,the research of risk control mechanism is essential for Policy-based financing guarantee companies.It is found that there are many aspects of risk control mechanism need to be improved in the industry of Policy-based financing guarantee.For instance,the internal control mechanism and risk-sharing mechanism of Policy-based financing guarantee companies have not reflected the feature of supporting high-tech companies.Most Policy-based financing guarantee companies do not have profound knowledge of high-tech companies.This research chooses financing guarantee company G which is policy-based and providing services to high-tech SMES as a case.Based on risk control theory and Credit guarantee theory,the thesis elaborates the internal control mechanism,risk-sharing mechanism and credit evaluation mechanism of company G,intending to figure out the existing problems and propose reasonable suggestions of risk control mechanism for Policy-based financing guarantee companies.This study indicates that the risk control mechanism of company G needs to be improved in many ways,such as the complex process of approval,operational and moral hazard of staff,unsound risk-sharing mechanism and credit evaluation mechanism.To promote the development of Policy-based financing guarantee companies which focus on the high-tech companies,this thesis makes recommendations on four aspects.Firstly,in the aspect of operation process,repetitive processes need to be removed and the efficiency of approval needs to be increased.Secondly,in the aspect of operation staff,the professional knowledge of staff needs to be enriched and the reward and punishment mechanism needs to be improved.Some measures have to be taken for avoiding the operational and moral hazard.Thirdly,the communication cost of risk-sharing mechanism has to be decreased and increase the cooperation efficiency at the same time.Lastly,the credit evaluation mechanism needs to be improved by enhancing the reliability of index CEST(credit evaluation of science and technology financing).Differentiated counter guarantee is preferred for different clients,for realizing risk control and revenue growth.