Research On Financial Risk Control Of Hengyang TY Real Estate Company

With the development of China’s economic entering the new normal,the country’s control over the real estate industry is getting stricter and stricter.The development of China’s real estate industries are facing unprecedented pressure under the background of financing difficulty,economic growth slowdown and increasingly severe policy regulation.Financial risk management has been paid more and more attention.HengYang TY Real Estate Company(hereinafter referred to as TY Company)is one of small and medium-sized real estate company in China.Which mainly engages in real estate development.With the large capital demand and long construction cycle of YT company,it will be affected by various financial risks in the development process,which will further affect the company’s operation,profit and development and increase the possibility of the company getting into financial difficulties.Therefore,to comprehensively evaluate the financial risk of YT company and put forward effective control measures is conducive to the sustainable development of the company.By the research on financial risk of YT company,some conclusions are obtained as following:(1)The financial risk of YT company is divided into funding risk,investment risk,operating risk,development capacity risk and capital recovery risk.(2)Through financial risk analysis and classification,we find the possible financial risk factors of YT company and established the indictor system of financial risk assessment.Funding risk mainly including: current ratio,quick ratio,asset-liability ratio and interest guarantee multiple;Investment risk mainly including: net interest rate of total assets,return on equity,profit rate of cost and expense;Operating risk mainly including:receivables turnover,inventory turnover,current assets turnover,total assets turnover;Development capacity risk mainly including: operating profit growth rate,operating income growth rate,net asset growth rate,capital appreciation rate;Capital recovery risk mainly including: cash flow ratio,cash recycling rate of assets and cash guarantee ratio of surplus.(3)The method of AHP and fuzzy comprehensive evaluation were used to analyze financial risk of YT company.The author obtained the “high” conclusion of financial risk.On the basis of riskidentification,risk analysis and risk comprehension evaluation,the author put forward financial risk countermeasures to deal with the YT company.This paper comprehensively analyzed the financial risk of YT company,and put forward corresponding control measures,which played a positive role in the company risk control,and also provided reference and guidance for the financialrisk control ofsmall and medium-sized real estate enterprises in Hengyang city or other provinces and cities.