The Research On Financial Risk Of Micro Food Processing Enterprise

As an important part of the economy operation in our country， microenterprises made a greater contribution for tax revenue growth and offered a widerange of jobs in recent years．But its risk control system is not as perfect as largeand medium-sized ones，especially in terms of financial risk control．In the2008financial crisis， a lot of micro food processing companies failed to stay inbusiness．We must improve the response capacity against financial risk to make theenterprises achieve long-term development．So it is worthwhile to study the controlof financial risk of micro food processing enterprise for the enterprise’s benignoperation．Firstly，the theory of domestic and international research on the financial riskcontrol and dynamics were analyzed，and the analysis describes the theory andfinancial risk control；Secondly，the paper estimates the financial risks and causesof micro enterprises they faced， then it comes to the conclusion the main externaland internal factors affecting micro-enterprise financial risk include：the naturalenvironment，industry conditions，policies and regulations，the ability of businessoperations， debt levels， risk awareness and investment income， mobility ofcorporate assets，the ability to grow，profitability and so on．This paper argues thatthe main factors affecting micro enterprises should be internal factors，but only afew major financial risk factors play a decisive role．Therefore，this article focuseson the financial status of a number of micro enterprises in food processing toanalyze and collect relevant data，refine of several factors that affect the financialrisks； Finally，based on the factor analysis model constructed analysis by factoranalysis method and the model constructed empirical analysis，we conclude thegrowth， profitability， solvency and operational capacity are the main factorsaffecting micro food processing enterprise financial risk．And each major factorsare affected only by a few key indicators．Appropriate suggestions based on this conclusion have been given．...