A Research On The Optimization Of Captial Structure Of SOPOR

In the business administration and future growth of enterprises,investment and financing research has become the first and foremost direction for enterprises to consider,and the optimization research of enterprise capital structure has inevitably become an major pace on the way of enterprise development.Capital structure is the composition of different capital and its proportional relationship,mainly based on the proportion of different ways,the fare of capital,the value of use and capital risk caused by the acquisition of funds through equity and bonds will have different effects on the capital framework of enterprises.Accordingly,enterprises should choose reasonable ways and means to optimize their capital structure based on their own economic environment,industry background,life cycle,operating conditions and ultimate controlling shareholders,etc.,so as to continuously govern the company’s operation level,enhance its operating income,help it achieve its financial goals,value maximization,and consolidate and strengthen its industry position on the present basis.At present,the development of the small home appliance industry as a whole is respectably driven by macroeconomic,industry policies and social demands,however,the overall performance results are not satisfactory,and there are many reasons for this result.Therefore,this paper is based on domestic and international capital structure optimization research and takes Zhejiang Supor Corporation(SUPOR),a leading company in the traditional small home appliance industry,with first-class manufacturing and capital assistance,as the authoritative role in the small home appliance industry.By analyzing the current status of SUPOR’s capital structure and its operations from 2016 to 2020,this paper finds that SUPOR mainly uses retained earnings for endogenous financing and its liabilities are found to have zero interest-bearing debt for many years,replaced by commercial credit financing,which is not in line with modern capital structure theory and is not conducive to its financial leverage to achieve maximum benefit.Unlike other companies that optimize their capital structure because of high debt,in this paper SUPOR has small debt specifications and many degrees of current liabilities.In order to solve the above problems,this paper judged and tested the optimal expected capital structure interval of(44.62%,53.65%)for Zhejiang Supor Corporation by combining the static optimal predictive capital structure model with the dynamic optimization method,and gave countermeasures to optimize the capital structure of Zhejiang Supor Corporation including improving the level of corporate debt investment,optimizing the company’s asset structure,optimizing the company’s equity structure and broadening the corporate financing channels,and corresponding safeguards are proposed.