The Financing Problems And Countermeasures Of H Company Under The "Three Red Lines" New Policy

This paper explores the financing problems faced by real estate enterprises under the current special policy background,and gives corresponding countermeasures.Firstly,in order to focus on the issues concerned by the research,we define the scope of the research.Then it introduces the operation characteristics of real estate enterprises,including the characteristics of the occupation form of funds and the existence form of liabilities.After that,it makes a detailed introduction to the specific policy of "three red lines".Then,it introduces the common problems that enterprises will encounter in the transformation of light assets.Secondly,starting from the operation characteristics of real estate enterprises and combined with the above policy background,this paper explores various factors leading to these problems.Finally,according to these problems,we can sum up the inspiration we can get from it and put forward some suggestions.This paper also combines the case of the problems faced by the specific enterprise-H company.As a typical case,H company is a concentrated embodiment of the common problems of other real estate companies.Therefore,we disassemble the problems of H company and put forward the Enlightenment from it.These enlightenment will be universally applicable to real estate companies,because each real estate enterprise can find its own "shadow".At the same time,the countermeasures will be preventive rather than remedial measures after the crisis.Analyze the difficulties and countermeasures it faces under this policy background to verify the practicability of the above countermeasures.The "Three Red Lines" policy links the long-standing financing problems of real estate companies with their four aspects of financial management—financing,investment,working capital management,and dividend distribution.Therefore,through the analysis of these four perspectives,the impact of financing problems can be clearly identified.factors of its emergence and development.This paper draws the following findings from the research.First,Company H’s dividend policy is too aggressive,resulting in a lack of endogenous financing and reducing the company’s financing ability under the impact of the "three red lines" policy.Second,the scale of debt is too large,and the structure of long-term and short-term debt is unreasonable.Third,although the amount of current assets is huge,the quality is not high,which affects liquidity.Fourth,without serious research and judgment on the economic situation,the rapid expansion in horizontal,vertical,and cross-industry multi-line,the capital flow spent on investment is difficult to make up for through profit and financing.Aiming at the financing problem of H real estate company,this paper believes that it can be solved by alleviating the principal-agent problem,reducing the absolute size of the balance sheet,focusing on the main business and divesting non-core business,and strengthening internal control and investment constraints.This paper has certain reference significance for China’s large-scale real estate enterprises,especially those facing financing difficulties and eager to actively realize transformation,in how to deal with the current financing difficulties and achieve long-term stable development.