| The real estate industry is a capital-intensive industry,and the capital demand for project investment is large,which makes financing play a vital role in the business elements of real estate enterprises.Land is one of the important resources of real estate development.Because of the rapid rise of land prices in China,the total investment in real estate projects has soared,which has caused small and medium-sized real estate enterprises to facethe insufficient development ofself-owned capitalwhen they obtain projects.In order to solve the financing demand of insufficient self-owned capital,mezzanine financing,which is more flexible than traditional financing,is widely used in real estate development financing.Mezzanine financing is a highly leveraged financing tool.When enterprises amplify leverage,they do not realize that the future housing price rise is expected to bring systemic and non-systemic risks to mezzanine financing.With the introduction of the government’s policy of "resolutely curbing the rise of housing prices",the long-term risk of high leverage of mezzanine financing has gradually emerged.At present,most of the research on mezzanine financing of real estate enterprises in China focuses on the mezzanine financing mode and future development.For the financing risks brought by mezzanine financing tools,there is no effective risk factor analysis framework to identify,respond to and avoid.This paper focuses on the risk factors of mezzanine financing to real estate enterprises by using literature analysis,financial analysis,case analysis and other methods,and proposes an effective analysis framework for financing risks to help real estate enterprises cope with and avoid the risks that mezzanine financing may bring.This paper first introduces the origin and development of mezzanine financing,enumerates the operation mode of real estate mezzanine financing mode and the impact on the financial operation of real estate enterprises,analyzes the systematic and non-systematic risk factors of mezzanine financing,and compares the loan value ratio and internal income.The rate and return on net assets decompose and analyze the process of mezzanine financing risk transmission.It is concluded that the fluctuation of sales income,development cost and interest expense factors form EBIT and net profit fluctuation,which leads to business risk and financial risk.Through S-group company’s cash flow,equilibrium,and profit-based project case analysis using mezzanine financing,the results show that income changes cause the highest EBIT and net profit volatility,the highest risk,followed by development costs,financial cost changes to EBIT and net profit fluctuations The impact is minimal,and finally proposes optimization suggestions for S-group cash flow,balanced,and profitable real estate project mezzanine financing.This paper provides support and reference for other small and medium-sized real estate enterprises to analyze the risk analysis of mezzanine financing,and puts forward solutions to the problems existing in S Group’s mezzanine financing risk management,strengthens the financing risk management ability to ensure the smooth progress of financing projects. |
