Research On The Impact Of Finance Company Loans On Financing Constraints Of Group Members

Under the macro-economic situation of the superposition of shifting period of economic growth speed,painful period of structural adjustment and digestion period of pre-stimulus policy,the problem of "difficult financing and expensive financing" of enterprises is an urgent problem to be solved in China.Financial companies,the organizational form of financial institutions within th e group,have grown rapidly in business scale in recent years.However,few literatures have studied the impact of the loan business of financial companies on the financing constraints of enterprises.In this context,this paper focuses on the impact of group finance company loans on financing constraints of listed companies of group members,and discusses the effect of state-owned enterprises and non-state-owned enterprises respectively.Firstly,this paper makes a theoretical analysis of the impact mechan ism of financial company loans on the financial constraints of member enterprises.It is found that financial companies have the advantages of easy access to loans,low loan prices,easy control of credit risk,widening the financing channels of borrowers and improving the financing structure,so they can improve the financing constraints of member enterprises.On the basis of theoretical analysis,this paper collects and collates the financial data of China's financial companies from 2012 to 2016 published in the Yearbook of China Enterprise Group Financial Companies.Based on this data,this paper empirically tests the hypothesis that financial company loans can ease the financing constraints of listed companies.This paper uses the two-way fixed effect model of panel data,and finds the effective instrumental variable of financial company loan,i.e.financial company capital concentration and financial company capital adequacy ratio.It solves the endogenous problem of the model and improves the persuasion of the empirical results.Through empirical tests,this paper finds that the loan business of financial companies can effectively alleviate the financing constraints of listed companies of group members.At the same time,this effect is more significant i n the group of state-owned enterprises,while the results of the group of non-state-owned enterprises need to be further verified because of the small number of samples.Based on the theoretical analysis and empirical results,this paper puts forward corresponding policy recommendations to the regulatory bodies,such as relaxing the relevant provisions on the examination and approval of the establishment of financial companies and actively promoting the establishment of financial companies.In addition,thi s paper also provides a reference for the group financial companies,such as improving the concentration rate of funds,actively carrying out business innovation,so as to improve the business scale,better play the role of financial companies.