Third-party Financial Leasing Company SSFY Risk Management Evaluation Case Study

Financial leasing is a financial model that integrates financing and financing,which originated in the United States in the 1950 s and was initially used for financing of armament materials,and with the increasing size of industrial manufacturing enterprises,financial leasing enters the capital market and occupies a major position in the field of equipment leasing and manufacturing project financing.The new fixed asset contract signed in the manufacturing industry in the United States has become a financial leasing model for nearly three.The emergence of the new model quickly led to the development of financial ethics in the relevant developed countries,Japan,Germany,South Korea,France and other developed countries have followed the model,to date,financial leasing has penetrated into various industries,market penetration rate of 18%-30%.China's financial leasing model started late,in 1984 set up the first financial leasing company(China Global Leasing Co.,Ltd.),the financial leasing model officially entered china after the reform and opening up.In the experience of foreign operation leasing projects,independent lying about the relevant financial leasing business,but because China's financial system is not perfect,the related manufacturing industry is in a low-level state than abroad,the development of financial leasing business has certain limitations,the market penetration rate is about 5% for a long time.With the expansion of the size of China's manufacturing enterprises,the number of financial leasing companies continues to improve,according to the "China Financial Leasing Development Report" data disclosure,as of 2018,China's total financial leasing companies 11,777,registered capital of about 3276.3 billion yuan,the total amount of project leasing contracts 665 billion yuan,the same period of growth,respectively,21.7%,1.33%,9.38%? The Ministry of Commerce and the CBRC department strictly control the number of leasing companies and ensure the quality of financial business development,and have introduced corresponding temporary management measures for financial leasing.Under the guidance of the established management methods,the industry usually divides China's financial leasing companies into three categories,namely,banking gold lease,manufacturer system lease,third-party financial leasing,bank ingress to finance the bank,the total amount of the contract is large,the number of business is large,the manufacturer is derived from the manufacturing enterprise equipment leasing,Third-party financial leasing companies are generally financial subsidiaries of large companies,limited in terms of source and size of funds,and customers have a high credit default rate.The common financial risks are mainly the liquidity of assets,the possibility of loss of leased property,the degree of market industry,the standardization of business operations,legal support,how to rationalize the risk evaluation and give effective recommendations is the main research of this paper.On the basis of consulting relevant materials and collecting relevant financial data,this paper selects SSFY leasing company as the main research object,and through field visits to the third-party financial leasing company,under the premise of analyzing the division's organizational structure,business development field and model,customer credit review and other modules.The main problem found that the company,first,the business involved in the field is broad,but the actual operation of the industry project experience is less,business focused on common areas of projects,second,the Division's customer access strictly enforce the company's relevant business management norms,but the credit review link is poor,third,the company's asset management problems are more prominent,The funds are tight.The fourth industry talent is uneven,business,credit review and management personnel processing projects are rough,easy to trigger liquidity risk,equipment leasing property risk,operational risk and legal risk.Based on the framework of CAMELS indicators,the VAR risk model,hierarchical analysis method and Z-Score model quantitatively scored the division on the level of liquidity,asset quality,management level and profitability,and explained the specific risks combined with the project and the company's major events.From the perspective of financial analysis,combined with the relevant financial data of the same type of company to carry out horizontal comparison,and the risk classification evaluation of this type of company,summarize the risk commonality of such leasing companies,and finally,through the quantitative data of the main risk impact degree to the risk points of SSFY leasing companies to give prevention and control measures.