Research On Land Financing Risk Prevention Of Xiangxiang Investment Company

Land financing is an important source of funds for the construction of local government finance and urbanization in our country.These financing activities mainly depend on the investment and development enterprises in state-owned cities for operation and realization.With more and more large-scale debt-paying activities,problems such as irrational financing structure,irregular financing procedures,poor operating profitability and unclear financing responsibilities will lead to big financing risks.Therefore,it is of great practical significance to study the financing risk of the land-based enterprises in the city.Taking Xiangxiang Urban Construction Investment and Development Co.,Ltd.As an example,this paper first analyzes the company's financial condition and land financing status by using the theories of corporate finance,financing risk and land rent and land premium,and analyzes the main characteristics of the company's land financing.Then,Then,aiming at the risk identification of the land financing of Xiangxiang Investment Co.,the author identifies the risk of the land financing of Xiangxiang Investment Casting Company through the Analytic Hierarchy Process(AHP),and evaluates the risk of the company's land financing.Finally,put forward the land financing risk prevention strategy.The results of the study found that:(1)66.60%of the total assets of Xiangxiang Investment Corporation are land inventory assets.The company's financing mainly relied on land mortgage loans and land pledges to issue bonds,and it relied heavily on government funding support;(2)Land financing risk of Xiangxiang Investment Company was mainly reflected in the financial land financing risk and non-financial land financing risk.Among them,financial land financing risks include asset risks and debt risks.Specifically,asset financing risks include profitability risks and asset quality risks.Debt financing risks include solvency risk and financing cost risk.Non-financial financing risks mainly include policy risks,credit risks and operational risks.(3)The comprehensive efficiency coefficient of land financing risk of Xiangxiang Investment Corporation was 68.29.The risk rankings of various indicators ranked in descending order were solvency risk,profitability risk,financing cost risk,qualitative risk and asset quality risk;(4)Land financing of Xiangxiang Investment Company in 2016 was a severe risk level.The company's assets are poor and the financing risks are high.The company's financing structure is relatively reasonable,but the risk indicators at each level differ greatly,debt repayment ability and profitability are weak,asset turnover efficiency is too low,and development capacity is insufficient;(5)Xiangxiang Investment Corporation's land financing risk prevention strategy Mainly through the expansion of financing channels to deal with solvency risk;enhance profitability through enhanced profitability to meet the risk of profitability;to strengthen the system to deal with policy risks.Through the qualitative identification,quantitative assessment and precautionary research on the land financing risk of the Urban Construction Investment and Development Co.,Ltd.of Xiangxiang,it helps the company to clarify the problems faced by its own financing management,which helps to resolve the financing risk,optimize financing decision-making and enhance the corporate land Financing style to prevent and control ability.At the same time,it has important theoretical guidance and practical reference value for the land financing risk assessment and prevention of other state-owned city investment enterprises and local governments.