Study On The Enterprise Financial Risk Early Warning And Prevention

Financial risk as a crisis signal, affecting the survival,development and profitability of enterprises, so we must prevent and control as soon as possible. Set up and improve the financial risk early warning is a powerful means of risk prevention. Effective financial risk early warning system can predict signs of enterprise financial crisis, discover the reasons led to the deteriorating financial position in time, so that the operators can take effective measures to prevent and control before the arriving of crisis. And get rid of the crisis at its early period.At present, the primary methods of risk prevention are single-variable model,Multivariate linear model,logit model,probit model and net model. As a another means, efficacy coefficient method easy to understand, simple to calculate, and the outcome is very objective, so it can be used very easily, is a simple,easy and effective ways of risk prevention.This paper introduce the research situation in home and abroad ,give the definition and classify of financial risk, introduce the primary financial risk early warning methods, make an opinion to the traditional efficacy coefficient method; analysis L company's financial situation; improve the traditional efficacy coefficient method from the determination of index system,the way of index value and the confirm of early warning limit, set up L company's financial early warning model, and forecast the 2005-2007years financial risk of this company, based on the analysis and preview of this company's financial risk reason, submit the way of financial risk prevention from three aspects; in the conclusion part, summarize this paper's study outcome and disadvantage, and point out the financial risk early warning system that combine the non-financial information can predict the corporation financial risk more effectively, this will be the important direction of financial risk early warning.