Research On Internal Control Of A Guarantee Company's Financing Guarantee Risk

Guarantee companies,as an important supplement to our commercial bank system,have adapted to the expansion of our financial system and alleviated the financing difficulties and expensive problems of our enterprises to a certain extent.Thanks to our country's policies,the development of our country's guarantee companies has witnessed rapid growth.From 2009 to 2018,the number of guarantee companies in China has increased from 5547 to 8151,the average registered capital has increased from 760 million yuan to 146 million yuan,and the total assets have increased from 81 million yuan to 171 million yuan.In 2018,the guarantee balance of China's guarantee companies has exceeded 3.4 trillion yuan,and the financing guarantee balance has approached 3 trillion yuan.The core business of guarantee companies is financing guarantee business.However,the repayment rate of financing guarantee in China has increased from less than 0.7%to nearly 3%in the past ten years.The situation of risk control of financing guarantee of guarantee companies in China is not optimistic.This paper aiming at improving the control level of financing guarantee risk of A guarantee company and promoting the steady development of A guarantee company.Firstly,this paper combs the existing literature with the method of literature research,finds out the blank points of the existing research,and clarifies the guiding theory and research ideas of this paper.This paper studies the status quo of internal control of financing guarantee risk of A guarantee company through qualitative and quantitative research method.On the one hand,this paper studies the risk degree of financing guarantee of A guarantee company,and finds that in the past five years,the repayment rate of financing guarantee of A guarantee company is higher,the number and amount of repayment are increasing,and the risk of financing guarantee business is very high.On the other hand,this paper analyses the current situation of internal control of financing guarantee risk of A guarantee company around five elements of internal control,and focuses on the process of internal control of financing guarantee risk from three dimensions:pre-insurance investigation,in-insurance and post-insurance supervision.On the basis of typical cases,A guarantee is found.The following problems exist in the internal control of corporate financing guarantee risk:the lack of internal control organization and culture caused by the lack of organizational structure and risk culture;the insufficient index system and the lack of systematic support for risk assessment caused by the lack of third-party evaluation;the internal control caused by the weak implementation of internal control process and performance appraisal The implementation control of the system is weak;the quality of information transmission is low and the efficiency of information transmission is difficult to guarantee,which leads to the low quality and efficiency of information reporting;the lack of indicators for internal control supervision and the limited compensation disposal measures lead to the disjunction between the internal control supervision mechanism and the actual situation.This paper also analyses the causes of the problems from the internal and external dimensions,mainly the weak willingness of shareholders to support,the weak position of A guarantee company and the failure of anti-guarantee mechanism,as well as the asymmetry of external information.Finally,in view of this problem,this paper puts forward research countermeasures around the five elements theory of internal control.