Exploration On Enterprise Growth Evaluation System

Since the 21 st century,small and medium-sized enterprises in our country have entered into the high-speed development period.Until now,there are more than 43 million SMEs in China,making great contributions to the rapid development of our country’s economy.Most SMEs in China are in a high-speed development period and they put main emphasis on the expansion of enterprise scale and exploration of new markets,rather than paying attention to current profitability of companies.They utilize a variety of resources to improve the enterprise’s development speed and the profitability in the future.So this paper argues that enterprise growth represents the various aspects of capacity building.Only through improving enterprise capacity at all levels,can effectively improve the growth ability of enterprise,and lay a solid foundation for enterprise development in the future.So the paper is not measuring enterprise growth with single indicators,but analyzing enterprise growth based on predecessors’ research from seven aspects: profitability,operation capacity,HR capital,tech and innovation,development potential,repayment capacity and management capacity of enterprise,which is also based on the practice of operation of SMEs.When measuring enterprise growth,this paper uses the Factor analysis method to analyze financial factors composing enterprise growth,build the factor-loading matrix,analyze variance of contribution of each factor,and so as to obtain weights of each factor to measure the weights of each financial index comprehensively.Since the index data are hard to reach,this paper adopts the Monte Carlo method to simulate the experimental data during the process of experiment.Besides,it also uses BP neural network model to calculate index,which can reflect the enterprise comprehensive management ability.After getting financial and non-financial indicators of SME growth,this paper take advantage of the Factor analysis method to calculate the weight of the index again,and finally conclude a comprehensive reflection of enterprise growth index.To clarify the rationality of the system established by this paper,learning from foreign scholars,it established the B-S Option Pricing Model to evaluate growth of SME,and compare the results based on the system with the real performance of SME using historical data to confirm the rationality of the evaluation system established by this paper.