How to formulate China s 36 articles on private financing

Have it? Which one sent it? Does it count?

That's right, but there is no specific industry matter, I gave up the industry after three years of general management in Guilin.

Private enterprises, especially small and medium-sized enterprises, will often face sub-health problems of cash flow, and sometimes when the turnover is not good, the enterprise will be in trouble, which will aggravate the operating costs and operating difficulties of the enterprise;

If it is to finance a new project, the failure of financing means that the project can only die in the womb, mostly because of the following reasons:1Poor corporate credit, financial condition 2

The feasibility report of the project does not attract banks or investors 3The ability of the enterprise team is not good, and it is not favored by the investor 4The means of financing for enterprises are single.

Private lending is a civil act, which is subject to the constraints and protection of civil law and contract law.

However, according to Article 211 of the Contract Law, "if the loan contract between natural persons stipulates the payment of interest, the interest rate of the loan shall not violate the relevant provisions of the state on restricting the interest rate of the loan".

At the same time, according to the relevant provisions of the Several Opinions of the Supreme People's Court on the Trial of Loan Cases by the People's Courts, "the interest rate of private loans may be appropriately higher than the interest rate of banks, but the maximum shall not exceed four times the interest rate of similar loans of banks". Therefore, the principal amount of private loans is protected, and the interest rate that does not exceed four times the interest rate of the same type of bank loan is also protected by law, while the excess part is not protected by law.

The benchmark interest rate for the same period refers to the benchmark interest rate announced by the bank, such as 1 year, the benchmark interest rate is about 5%, and 4 times is 20%, that is, more than 20% is the usury recognized by law.

Long-term debt financing:

Advantages: It can meet the shortage of long-term development funds of enterprises, and the debt repayment pressure is small, and the risk is relatively small.

Disadvantages: Higher cost and more restrictions.

Short-term Debt Financing:

Advantages: Funds are available quickly and are easy to obtain; Flexible financing; The cost is lower.

Disadvantages: short repayment period, relatively high financing risk.

Equity Financing: Advantages: The capital raised is permanent; There is no fixed dividend burden; Equity capital is the most basic capital of an enterprise**, which can enhance the ability of the enterprise to indebted; Easy to absorb funds.

Disadvantages: higher cost; Transfer control of the business.

1.It is an inevitable requirement to overcome the phenomenon of financial repression, break the monopoly of formal finance, and improve the overall development level of the financial industry, and it is also a common practice in many foreign countries. At present, China has implemented an open market economy, established the principle of autonomy of civil law, and successfully launched microfinance companies.

The state should distinguish between civil and commercial lenders, adopt the principle of free lending for civil lenders, and adopt a system of approval and establishment for commercial lenders, and at the same time stipulate that lenders must be the owners of funds, and increase the supervision of private lending to standardize its development.

2.China's long-standing simplistic repressive attitude towards private lending has led it to detach itself from regulation and develop underground, with adverse consequences for China's economic development and social stability. The existence of private lending has its theoretical and practical basis, and the solution is to regulate and supervise it legally.

China's current legal system on private lending has problems such as a large and complex system, old and outdated, and the regulatory system also has shortcomings such as lack of subjects and too strictness, which have reduced the positive role of private lending. In the future, a multi-level and multi-form private financing system should be established, the legal regulation of private lending should be improved, the supervision of private lending should be strengthened, and the healthy development of private lending should be guided and promoted.