Design Of Equity Financing Scheme For GS Environmental Technology Co.,Ltd

In recent years,China has paid more and more attention to environmental protection,and strived to improve the quality of the country's water environment and realize a virtuous cycle of ecosystems.Water pollution prevention and control in core urban areas has made great progress.At the same time,the issue of water pollution in the vast rural areas has also received further attention.For the first time,China 's “Thirteenth Five-Year Plan” formally incorporated rural sewage treatment into the national planning level,and proposed to actively introduce private capital to participate in the village and town sewage treatment market.However,in the face of the high up-front investment in the sewage treatment industry,the problems of difficult financing and expensive financing that have plagued our private small and medium enterprises(or SMEs)for a long time have become more prominent.Traditional bank loan financing ways have too high thresholds for private SMEs,and there is a demand that cannot match long-term development funds.Some private SMEs are helpless to resort to private loans to cope with financial difficulties.However,the high cost of private lending has further limited the healthy development of private SMEs.Therefore,considering practical needs,it is of great significance to study financing schemes applicable to private SMEs,including the environmental protection industry.This article mainly uses the research method of case analysis,according to the research ideas of finding problems,analyzing problems,and putting forward countermeasures,by selecting target companies with research problems as research objects,extensively collecting information on the basis of practice,research and analysis of financing problems,try to propose equity financing solutions and provide implementation suggestions,and take the research object as an example to propose a solution to the current financing problems faced by private SMEs.Guided by this research idea,this article selects environmental protection industry company GS company as the research object,through the study of GS company industry opportunities and development overview,analyzes its current financing difficulties and financing problems,through comparing the debt financing method to the equity financing methods,in response to the financing needs of GS companies,puts forward a plan to introduce private equity financing,and provides a number of suggestions for the implementation of private equity financing programs in advance,such as organizational guarantee,implementation steps during the event,and monitor fund using.Based on the above research content,this article is divided into five chapters for analysis and research,and puts forward the conclusions that private SMEs are suitable for private equity financing based on their own capital needs and several issues that should be addressed before and after equity financing.The main contribution of this article is to use case study research methods to study the financing status and problems of private SMEs represented by GS companies,propose and design equity financing solutions,and provide solutions for GS companies to meet the funding needs for development.Actual financing suggestions and scientific implementation arrangements also provide useful references for equity financing activities of other companies in the same industry or in the same category.