Research On Risk Management Of Accounts Receivablemoney In Changsha Xinao Gas Company

In today’s society, accounts receivable management can greatly increase their profits, but growth in operating profit and can’t be equated to an increase in cash flow, "cash is king" is always the first principle of the enterprise must adhere to, and our current worrying Credit Conditions "reimbursement difficult" as a constraint to the development of many enterprises shackles. At present, China’s enterprises, there are many problems in the management of accounts receivable, in which the most important one is the risk management of accounts receivable. The rapid development of credit and be able to significantly expand the company’s share of sales in the market, but also the competitiveness of enterprises has been improved, but also caused a large formation of accounts receivable. As customers reasons, many factors coupled with the market, it is easy to form accounts receivable bad debts. Once too many bad debts, it will affect the development of enterprises seriously, lead to bankruptcy. Therefore, enterprises in the vigorous use of credit means to expand market share, we must strengthen the management of accounts receivable, to reduce the risk of accounts receivable, thus avoiding the enterprise into a payment due to the expansion of credit leads to difficult to take a difficult situation.This paper summarizes the analysis of existing business accounts receivable risk connotation, recognition and risk prevention and related theoretical literature on the use of "found the problem- analysis of the problem-to solve the problem" thinking path method, combined with relevant statistics analysis of the current situation and the causes of the problem Changsha new Austrian gas company accounts receivable risk management analysis, comprehensive empirical analysis, literature research, comparative analysis and interview key figures of the company accounts receivable risk management research. To find the root cause of their risks, and on this basis, build a company’s accounts receivable risk management system to address the potential risks of accounts receivable company, results of this study were as follows: (1) from the company’s current accounts of the indicators, the potential risks facing the company in recent years accounts receivable increased, but the risk does not affect the company’s business activities, accounts receivable risk that the company is in excellent value in the industry.(2)The company currently manages accounts receivable on a strong recovery efforts, the implementation of a better outcome is better, but on the company’s long-term development objectives and strategies, the company’s lack of systematic risk management mechanism. In recent years, the company must show receivables growth rate significantly higher than the company’s main business revenue growth rate, this trend, the company is funding strand breaks may occur in the future development of the phenomenon;(3) By reading the literature and interviews with key figures combined to determine the company’s accounts receivable risk management system indicators, especially credit evaluation and cash flow targets. Using gearing ratio evaluation model on customer credit evaluation, indicators including customer liquidity ratio, quick ratio, liquidity ratio and debt to equity ratio of total debt to equity. According to expert assessment and analysis and historical data, gives the corresponding customer credit balance sheet evaluation criteria; (4) the company credit evaluation, uphold strict attitude to the main quantitative indicators designed to assess three-stage approach On the basis of financial indicators on client cash flows considering the status indicators and repayment will determine the appropriate credit policies. Among them, the cash flow indicators selected can effectively reflect the company’s seven health status indicators, namely cash earnings per share, return on total assets in cash, cash ratio on demand, free cash flow ratio of financial costs, the main business cash yields, free cash flow and free cash flow per share, net assets ratio. (5) On the basis of summary recall management on the accounting treatment proposed rationalization proposals and control of the company decided to scale and the relative proportions of the standard. Make recommendations for the company’s safeguards and accounts receivable risk management system required, namely to establish full awareness of risk management company, working full analysis of the various departments and related personnel responsibilities clear, to establish an independent company’s credit management department.In short, the new Austrian gas company Changsha accounts receivable risk management research, evaluation Changsha achieve new Austrian gas company accounts receivable risk management, as well as a targeted solution to how to improve the new Austrian gas company Changsha accounts receivable risk management capacity building issues, trade accounts receivable by comparing the value of risk management standards, the company pointed out the advantages and deficiencies in risk management in accounts receivable, accounts receivable risk management for the industry to enhance gas supply mechanism provided reference value; enhance the capacity of the weak and the company’s accounts receivable risk management advice given in the corresponding solution overall, the company’s accounts receivable are more optimistic about the implementation of risk management, the accounts receivable risk establish a management system able to keep the company in the management of superior force, while helping to build the company to achieve long-term goals to achieve international companies, a clear improvement in the company’s development in the next few years the focus direction.