Research On The Jiahe Company Financial Management

As parts of the socialist market economy system, small and medium family enterprises are becoming integral parts of the economic teams in the promotion of social productivity development. In small and medium family enterprises, most of whose chief or key positions of organizational structure are held by family members. It can be commonly found that holding backward thinking, making decision based on subjective empiricism, ignoring financial management and distorting statistics data and so on. Investigate its reason we can get following aspects——objective factors and subjective factors.Through empirical studies of the Jia He company’s financial management issues, the author hopes to find out the crux of the financial management of small and medium sized family businesses, to explore the underlying financial and management optimization and play a useful reference for similar financial management of small and medium sized family businesses.This paper begins with an analysis of the concept, the characteristics, and the financial management of small and medium sized family businesses. Second, the authot analysizes Jiahe company’s problem of financial management status and financial management in the methods of field visits, interview, questionnaire investigation, antibody and reasoning. Using COSO internal control framework as optimization principles for Jiahe company’s financial management, the author optimizes Jiahe’s company financial management focused on environment control in the internal control system, risk assessment, activities control, information communication, oversight, full budget management and the company corporate governance structure and so on. Finally, the author develops practical financial management programme in the Jiahe company to ensure their effective implementation.