Research On Financial Early Warning And Application Of Venture Capital Enterprises Based On BP Neural Network

The software industry is an industry where venture capital is concentrated.Venture capital not only provides financial support,but also provides value-added services to supervise enterprises.Software industry venture capital companies have greater uncertainty in product research and development,higher risk of capital recovery,and an efficient financial early warning mechanism is conducive to improving their management issues.However,there are few early warning studies for this special group in this industry.Therefore,this article selects the typical venture capital company-Q software company for financial early warning research.This article uses a case study approach.First,analyze the business process and existing risks of Q software company,and discuss the status and limitations of Q software company's financial early warning management.Secondly,29 warning indicators are extracted from the seven dimensions of talent incentive,labor cost,R&D investment,venture capital shareholder characteristics,equity structure characteristics,board structure characteristics,and financial ratio,and they are reduced to 11 principal components using principal component analysis factor.Thirdly,the BP neural network optimized by genetic algorithm is used to construct a financial early warning model,and the prediction accuracy rate of the financial status of similar enterprises reaches 95%.Finally,the model is used to predict the financial crisis situation of Q software company.The conclusions of this paper are:(1)Summarize the limitations of Q software company's financial early warning management from the four dimensions of financial early warning organization system,system design,early warning indicator system and financial early warning model.(2)Combined with the actual situation of Q software company,construct a financial early warning model based on BP neural network for this company,which accurately predicts the financial crisis situation of 2016-2018.Put forward financial crisis management countermeasures from three dimensions of financial management,operation management,and corporate governance,including: managing credit risk and improving company liquidity;rationally arranging financing behavior and financing structure;improving performance management,stabilizing the talent team;improving R&D process management,reducing R&D risks;enhancing customer stickiness and improving the competitiveness of products and services;improving internal control systems and improving corporate governance;attracting reputable venture capital and using the supervision function of venture capital.(3)From the three dimensions of organizational system,system design,and information system construction,this article proposes the guarantee measures of practical application of financial early warning model based on BP neural network.