The Building Of The Growing Companies’ Financial Risk Early Warning System Under The Financial Crisis

With the rapid growth of China’s economy, growing companies are becoming more and more important in the country’s economic development, and gradually being an important part of our economy and society. The nature and characteristics of growing companies are their growth. But there are many problems in the developing process of the growth companies. For example, the development of corporate capital and manpower can’t match with each other, which makes the development of growth-oriented enterprises blocked. Since the negative effects of worldwide crisis haven’t cleared away, the downturn in the international economic situation also has a bad impact on our economy. For the growing companies, the difficulties in financing, lower investment income and the negative impact on the capital chain bring a serious of financial crisis.This paper first introduces the theory of financial warning, and defines what is growing companies.Second, analysis the status of growing companies, and further discuss the effects of today’s financial crisis on the growing companies including their internal and external risk factors. Third, choose the manufacturing industry as our research object, and build a financial early warning system which include five modules as well as safeguard measures. We use the Fisher discriminant analysis method in the financial risk module. Then we use several indicators which are convincing in measuring the degree of financial risk to build a financial risk early warning model. This model is more effective in discriminating the financial risk of companies Finally, we choose Xinguodu(300130) as our object of case study, build a financial risk early warning model and make some suggestions on its financial risk.