Keywords: SME financial management problems and countermeasures
At present, the operation mode of small and medium-sized enterprises in the world has developed from the production mode that mainly pursues output growth in the past to the financial mode that emphasizes the comprehensive evaluation of product quantity, cost and profit and emphasizes the maximization of owners' rights and interests. Especially after China's entry into WTO, the related factors affecting the financial management of small and medium-sized enterprises have become unprecedentedly complicated. As an important part of China's national economy, small and medium-sized enterprises play an important role in promoting China's economic development and social stability. However, in the process of its healthy development, a considerable number of enterprises only pursue sales and market share, ignoring the core position of financial management. Enterprise management is limited to the production and operation management mode, and the role of enterprise financial management cannot be fully exerted. As a result, it is difficult to cope with fierce market competition and even endanger its survival. How to seek the healthy development of small and medium-sized enterprises under the condition of market economy, establish a modern enterprise system marked by strengthening financial management, and carry out capital operation scientifically is a problem worthy of attention.
Problems existing in financial management of small and medium-sized enterprises
Financing difficulties
At present, with the acceleration of economic development, small and medium-sized enterprises are growing rapidly and playing an important role in China's economy. However, the difficulty in financing and guarantee is still the bottleneck restricting the development of enterprises. The main reasons are: excessive debt, high financing cost and high risk, which lead to low credit rating and relatively poor credit standing of small and medium-sized enterprises; The state has not set up a special management support institution for small and medium-sized enterprises, and the preferential policies of the state have not been tilted towards small and medium-sized enterprises, which has put them at a disadvantage for a long time; Most small and medium-sized enterprises are non-state-owned, many financial institutions are influenced by traditional ideas and administrative intervention, and there is a lack of financial intermediaries and loan guarantee institutions for small and medium-sized enterprises, which makes banks less enthusiastic about their loans. As a result, small and medium-sized enterprises generally have the problems of insufficient funds and poor emergency response ability, which seriously affects the development of small and medium-sized enterprises.
Weak investment ability
Due to the small scale of small and medium-sized enterprises, the proportion of loans invested is much larger than that of large enterprises, and the risks they face are also greater. Therefore, they tend to pursue profits, want to recover their investment as soon as possible, and lack investment awareness. Even if there is, it is difficult to conduct a scientific feasibility study. The main reason is that small and medium-sized enterprises are short of funds, it is difficult to attract investment or borrow money from financial institutions, and the financing cost is high, so they rarely consider expanding their scale; Small and medium-sized business owners often do not attach importance to investment, especially strategic long-term investment. Due to the limitation of their own quality, the managers of small and medium-sized enterprises do not understand the specific situation and overall trend of the industry and market, lack scientific financial prediction, decision-making, budget and investment plan analysis, and are not sure about the investment direction, which leads to investment mistakes, or blindly invest under the banner of diversification, so that they are on the verge of bankruptcy.
Unscientific financial management
Because small and medium-sized enterprises are limited by the quality of scale personnel, there are many shortcomings in fund management and control. Cash management is not strict, and many small and medium-sized enterprises reserve too much cash, resulting in idle funds, unable to participate in production turnover and inefficient use of funds. Weak internal control, unconstrained leadership power, weak financial control, weak basic management and poor cost analysis. Weak inventory control, slow turnover of accounts receivable, lack of strict credit sales policy and strong collection measures lead to difficulties in fund recovery, resulting in sluggish funds and even serious asset losses.
Managers lack modern financial management concepts.
A considerable number of small and medium-sized enterprises belong to individual and private nature, and their typical management mode is the high unity of ownership and management rights. The investor of the enterprise is also the operator, and the phenomenon of centralized leadership and family management is serious. Although some enterprise managers brought the enterprise into a period of rapid development at the beginning, with the development of the enterprise, the financial management level of the enterprise also needs to be improved simultaneously. Due to the limitation of their own knowledge, enterprise managers have poor management ability and quality or lack of professionalism, and their management ideas are relatively backward, failing to incorporate financial management into the effective mechanism of enterprise management and lacking modern financial management concepts. Serious even lead to separation of duties and ultra vires behavior, resulting in financial management confusion.
Weak basic work of financial management
At present, many small and medium-sized enterprises have unclear accounting accounts, distorted information and chaotic financial management. The main reason is that business leaders have a weak legal concept and little understanding of relevant national laws, regulations and accounting systems. Most small and medium-sized enterprises do not have special financial institutions, or some units have financial institutions, but their posts and responsibilities are not divided, ignoring the seriousness and compulsion of financial system and financial discipline. Accountants have low quality and poor ability. Due to the particularity of the nature of small and medium-sized enterprises, in order to reduce the number of employees, most of the financial personnel are the family members and relatives of the owners, who can only complete the tasks of bookkeeping and reimbursement, and cannot achieve internal containment, let alone financial management.