A Case Study On The Financing Of GuoZheng Microlending Co Ltd Asset Securitization

Small and medium-sized enterprises are the mainstay of China’s national economic development.The development of small and medium-sized enterprises has effectively alleviated the employment pressure in China and promoted the stable growth of China’s macro economy.However,small and medium-sized enterprises have difficulty in financing financial institutions such as Banks due to their small size,which leads to a slowdown in their development.In May 2008,the people’s bank of China and China banking regulatory commission jointly issued "on the small loan company pilot instruction opinion",its significance lies in advocating by setting up a private small loan company to help with the micro,small and medium enterprises to better financing.But the guidelines stipulate that microlenders are unable to absorb public deposits and can only make loans,resulting in a shortage of funds for small loan companies.Small loan company’s traditional financing channels are mainly internal increase endowment spread,borrowing from the bank,trust financing,stock listing,etc.,but,in the financing channels,or the capability is low,or feasibility is low,can’t solve the petty loan company in the very great degree of financing difficulties,financing your problem.Therefore,for the sake of sustainable development and better service of small and medium-sized enterprises,small loan companies must expand their financing channelsThe rapid development of asset securitization in recent years is a good way for microlenders to broaden their financing channels.This article attempts through"countries are small issue asset-backed special plan" this case,based on the relevant theory of asset securitization,and corporate finance,the paper introduces the design of the countries are small credit asset securitization model,analyzed are little motivation,characteristics of credit asset securitization financing and financing efficiency.The analysis shows that the expansion of operation scale and the financing channels are less forcing the small loan companies to carry out asset securitization financing.Good loans are small loans to asset securitization financing is a prerequisite for respectability,cycle of purchase way of application is a key to the success of asset securitization financing can,credit promotion measures introduced to ensure the smooth release of the asset-backed securities.’is small the loan assets support the issue of special plan successfully reduced the cost of financing,the stock assets,optimize the balance sheet,effectively alleviate the countries are small loan fund shortage problem.But countries are small loans in the process of asset securitization financing,there are underlying asset loans in the geographical distribution is too concentrated,risk isolation problems such as incomplete,finally proposed should perfect the related legal policy,small loan company shall improve its risk control system and human resource configuration...