Hebei Construction Group Limited Byshares Financing Structure Optimization Research

In recent years,the equity supplementary fund ratio is too low,the external financing ratio is too high,and the external financing relies too much on bank loans,resulting high asset liability ratio,high financial leverage ratio,and excessive financial risk of enterprises.In particular,construction enterprises occupying more funds and slow capital turnover,which leads to more funds occupied by "inventory" of construction projects in construction enterprises,and its asset liability ratio is usually higher than that of other industries,which aggravates the financing risk of construction enterprises,resulting the tension of enterprise capital chain and even the risk of capital chain interruption.For example,in 2018,Nantong No1.Construction Group Co.,Ltd.was forced to declare bankruptcy due to unreasonable financing structure and difficulty in refinancing.Henan group was forced to go bankrupt and reorganization in 2019 due to unreasonable financing structure.Therefore,optimizing the financing structure and controlling the proportion of debt financing has great significance for the construction enterprises to control financial risks and ensure the healthy development of enterprises.This paper uses case analysis method to study the optimization of financing structure of Hebei Construction Group Co.,Ltd.This paper first introduces the background and significance of the topic,the relevant research status at home and abroad,the research ideas and main contents of the paper.The second chapter describes the theoretical basis of related concepts.The third chapter is the case introduction,it mainly introduces the general situation of Hebei Construction Group and the change of group financing structure,and summarizes the characteristics of the change of financing structure of Hebei Construction Group.The fourth and fifth chapters are case studies,which focus on the outstanding problems in the financing effectiveness and financing structure of Hebei Construction Group.The specific reasons for the unreasonable financing structure of Hebei Construction Group are analyzed from the following aspects: the deviation of corporate management strategy,the low capacity of endogenous supplementary funds,the small scale of equity financing,and the large scale of commercial liabilities.The sixth chapter is based on the case analysis of countermeasures and suggestions,for Hebei Construction Group Co.,Ltd.financing structure problems and reasons analysis conclusion,based on the enterprise’s own point of view,respectively from the adjustment of the company’s business model,adding endogenous funds,expanding the scale of equity financing,reducing accounts payable,adjusting the debt financing structure,reducing financing risks and other aspects Hebei Construction Group Co.,Ltd.