Characteristics Of Financing Structure Of Listed Companies On GEM And Analysis Of Influencing Factors

Capital is the foundation and original driving force for enterprise development,and financing is crucial for the development of enterprises.From 2013 to 2018,the average annual increase in the scale of social financing in China reached RMB 17.8 billion,and the overall financing needs of the society were huge.SMEs have relatively high financing costs due to their small scale and short development history.Especially for innovative enterprises with high technical requirements,R&D investment requires a large amount of financial support,and the time required for liquidation is long,resulting in tight capital operation.There is a higher financing need than large enterprises.In 2009,China launched the GEM board.As of December 28,2018,there were 739 GEM listed companies with a total market capitalization of 5,528.17 billion yuan.The GEM listed companies are mainly high-tech enterprises,and their establishment has opened up new financing channels for high-tech small-scale enterprises.Understanding the current financing structure of GEM companies is of great significance for improving the existing financing environment and developing innovative corporate financing methods.In addition,understanding the influencing factors of the financing structure of GEM listed companies will help and promote enterprises to improve their own conditions and improve the efficiency of corporate refinancing.It helps investors to pay attention to key indicators,understand the development status of investment companies,and make reasonable investment decisions.Therefore,the current financing preferences of GEM listed companies and the factors affecting the financing structure of GEM listed companies have caused extensive discussions in the academic community.In this paper,the internal financing ratio,debt financing ratio,commercial credit financing ratio and equity financing ratio are used to represent the enterprise financing structure,and the characteristics of the financing structure of gem listed companies are summarized and analyzed.The results show that equity financing is the most widely used financing method for gem companies in China,and there is an obvious preference for equity financing for listed companies on gem in China.Secondly,on the basis of summing up the historical research,combined with the theory of financing priority,the modern capital theory deduces 19 internal and external factors that affect the financing structure.In order to improve the scientific nature of the study,this paper uses principal component analysis to reduce the dimensions of 19 influencing factors.Finally,eight principal component indexes were obtained.Then the multiple linear regression model is constructed by using the principal component influencing factor index and the ratio of the four kinds of financing structure.The regression results show that the external economic level,the solvency of the enterprise,the profitability,the development ability and the operatingability of the internal factors.Research and development ability,management shareholding ratio and ownership concentration will affect the financing structure of enterprises.The scale of enterprises,the level of interest rate and the increment of social financing structure have little influence on the financing structure of listed companies on gem.Finally,from the point of view of enterprise and capital market,the paper puts forward some suggestions to improve the financing structure.