A Case Study Of Greenfield Holdings Financing Strategy

Since the reform and opening up,China’s real estate industry has flourished.Over the past decade,China’s real estate enterprises have basically achieved an annual growth rate of more than 10%.At this stage,they have become the pillar industry of our national economic development.At the same time,the development of the real estate industry will also have a significant impact on China’s national economy.As a capital-intensive industry,real estate enterprises can drive the rapid development of many industries,such as building materials industry,furniture industry,household appliances industry,and so on.They are one of the important forces for the growth of the national economy.However,the current financing situation of real estate enterprises is not smooth.Because the research on real estate financing in China is relatively late,it is not perfect in theory and practice.The financial development of real estate enterprises in the developing stage is relatively backward,and the loan restrictions of banks to enterprises are increasing day by day.These are the threats that capital-intensive real estate enterprises are facing to the rupture of the capital chain.In order to achieve the sustained and healthy development of the real estate industry,the government’s supervision is also constantly strengthened,and the macro-control policy is constantly deepening.Internal and external pressure intertwined,financing has become one of the main factors that perplex the development of real estate enterprises.At present,most of the real estate companies in our country rely on bank credit in the process of financing.This phenomenon reflects that the financing channels of real estate companies in our country are relatively single and the financing scale is insufficient,which leads to the increase of financing risk.In order to strengthen the competitiveness of real estate enterprises,it is necessary for us to make a deep research on the financing situation and financing characteristics of real estate enterprises.How to break through the bottleneck,expand and improve the financing channels and sources of enterprises,solve the problem of insufficient funds,andresolve the potential financial risks faced by real estate finance are worthy of our study and attention.On the basis of summarizing the relevant theories of real estate enterprise financing,this paper takes green holding as a case.In the first part,the research background,significance,content and research methods are expounded.In the second part,the financing status of green holding is analyzed.Firstly,the basic situation of green holding is introduced.Secondly,the financial situation of Greenbelt Holdings is analyzed,including the analysis of solvency,profitability and operating capacity.Finally,it analyses the current financing situation from the financing mode and structure.In the third part,we mainly analyze the problems and risks in the strategy of green holding financing.And from the external and internal reasons to analyze the causes of these problems.The fourth part mainly puts forward relevant countermeasures and suggestions from three aspects: strengthening risk control,innovating financing methods and adjusting financing structure.The fifth part puts forward conclusions and prospects.It is also hoped that the analysis of these financing strategies and the follow-up suggestions can help the real estate industry.