i.definition and characteristics of supply chain finance
supply chain is a composite chain of six chains, including industrial chain, transaction chain, financial chain, logistics chain, information chain and supervision chain. among them, the chain of supervision is the chain of supervision and management that china started to promote in various fields last year. what is supply chain finance?
supply chain finance: it is the financial services provided to the affiliated enterprises in the industrial chain, including the comprehensive financial services based on the transaction financing, settlement, insurance and other related businesses of the upstream and downstream enterprises of the core enterprises. to get to this point, we have to go back to the nature of financial lending. as long as the loan must have a guarantee, the bank to avoid the borrower repayment risk, the loan must provide a guarantee.
collateral can be divided into two categories, one is credit guarantee, one is physical guarantee. credit guarantee is to carry on the grade evaluation to the enterprise, if the enterprise credit is 3a to give what kind of financing, enterprise credit is 2b to give what kind of financing, it is to carry on the guarantee with the credit.
another kind is material object guaranty, divide into immovable property guaranty and chattel guaranty two kinds big. real estate is the traditional collateral for financing. in the period of rapid economic growth, the resources of real estate are exhausted, so we choose the movable property as collateral.
there are many participants in supply chain finance, which can be roughly divided into the following categories:
one is financial enterprises. financial enterprises make loans into products and give them different names, such as trade financing, inventory pledge and factoring. logistics enterprises also participate in supply chain finance, and launch corresponding products such as chattel pledge, spot trade, warehouse receipt pledge, centralized procurement, etc. some online platforms also launch various financing products, such as online financing and cash collection. some fintech companies have also taken part in the lending, and a big issue now is the difference between fintech and finance companies. there are also fund companies, factoring companies, insurance companies and so on to provide loans. but these firms get 92% of their funding from banks, partly from deposits on platforms and from their own money.
there are four main characteristics of supply chain finance. supply chain finance is a financing business form closely related to the transaction of goods, and goods and circulation are its business basis. neither credit financing nor bond financing can be called supply chain finance. i want to build a wall to it. why build a wall? because there are a lot of financing problems, we will pour the dirty water on the supply chain finance, that is, there are problems and risks in the supply chain finance. i don't think so. inter-bank bill financing cannot be called supply chain finance, because supply chain finance is related to supply chain and goods, so i think it should be a firewall to supply chain finance. the flow direction of supply chain finance is upstream and downstream transmission. the sale of one enterprise is the purchase of another enterprise. enterprise data is available, timely and authentic. upstream and downstream enterprise information interaction verification, real trade is easy to confirm. what is real trade? the activity in the supply chain is real trade.
supply chain is a cluster of interconnected enterprises discovered by banks through core enterprises, which expands the service object and changes the business model. such as information docking, lending fast, convenient and simple, flexible, open and transparent standards, quota recycling. this is very important. in the past, bank loans often needed to be reviewed for a period. the quota is recycled now, and the loan can continue right away. from the control of each enterprise loan to the control of the chain, saving costs.
from the supervision of banks, we can see that the central bank has implemented the penetrating management, who borrows whose money, must make clear the final payment of the lender, the situation of the final user of the loan is related to the penetrating management, and the finance composed of supply chain finance must be the penetrating management, so it is convenient to find the risk early.
ii.the risk of supply chain finance
the second big question is, let's talk about the risks in supply chain finance, and that's what we learned from a lot of cases.
the first is the risk of operating environment. in the context of the slowing growth of macro economy, enterprises with good credit in the past also have problems due to their rapid expansion in the early stage, including state-owned enterprises and private enterprises. in the past, when investing in a project, 30% of its own capital could be lent to 70% of the loan. now, many 10% of its own capital dare to lend 90% of the loan for financing. the leverage is too big.
is it time to pull the plug on the loan or to pull through? financial firms choose only the former. why? because it is an economic entity, it has responsibilities.
second is the credit risk, the bank is heavy bill but light material object, heavy form but light substance.
the third is the leverage risk: the enterprise own capital is insufficient, own capital confirmation is unknown, the collateral is false.
the fourth is to assess the risks and operational risks: transaction authenticity, enterprise credit evaluation and calibration is not accurate, commodity value confirmation and change, data is not accurate, improper parameter selection and so on will produce risks. why do i emphasize parameters? what is normal? normal is to have a normal value, in the normal value of the case, this parameter should be able to choose, more than this parameter is not normal indicators, so we should be vigilant.
fifth, excessive competition risks. there are many banks and few projects with high returns. ious loans, credit sales loans, commercial invoice loans and invoice loans appear, and the exchange of goods and self-determined credit currencies (bitcoin, digital currency) are also quietly surging, making it easy to form subprime loans.
six is the risk of fraud, which is an old risk.
another is institutional risk. the system of china's banking system protects risks. for example, we have reformed the banking system and all institutions except the high interest rate and interest rate. the interest rate of your deposit is 1.75%, and the interest rate of your loan is 6.1%. among them, there are nearly 4 points and 5 points in the bank. so why do everyone do finance? that's why.
this is a very typical case in the history of our supply chain finance, such as the steel trade financing event in shanghai. the main reason is that some enterprises could not control their original intention in the face of a large amount of loans, so they borrowed a lot of money at usury, but they could not get the money back, which resulted in this situation. the case is still a muddle. its lesson is to spoon - feed the loan type, the family does not want money to force loan. still have it is fund seeks rent, change the use of the bank's money to put usury, at the same time the circumstance that cheats, bilk exists.
the second is the loan fraud case in qingdao. the main reason is that the warehouse receipt is not unique. the legal status of the warehouse receipt is not obvious. because this enterprise in hong kong registered trading company, in qingdao registered storage company, by its mainland registered storage company issued a warehouse receipt, and then to the bank mortgage.
the problem arises because the boundary is not clear.
the third case is that of the pan-asian exchange, which actually used a p2p ponzi scheme to cheat people out of their money. this is a typical case of creating a virtual transaction out of the real thing.
in the fourth case, chengdu branch of shanghai pudong development bank illegally extended 77.5 billion yuan of credit to 1,493 shell companies in exchange for the relevant enterprises' contribution to the bank's non-performing loans. the cbrc analyzed the reasons for the problem and said three things: one was the serious failure of internal control; the other was the one-sided pursuit of ultra-rapid development of business scale; the third was the weak awareness of compliance.
the four cases are attributable to three reasons. first, the boundary between financial regulation and the encouragement of financial innovation is not clear. second, the high profits of the financial industry induced the emergence of financial syndicates, which adopted illegal means to control the banking, insurance, funds and other financial channels. the third is that bankers' high incomes make them desperate.
iii.movable property is the foundation of supply chain finance
nowadays, the chattel is still the basic guarantee of financing. chattel is a part of the borrower's economic strength and the main basis of credit rating. the entity without chattel is a zombie enterprise. therefore, the guarantee provided by movable property that can be realized is the safest guarantee. the risk prevention of movable property guarantee lies in the confirmation of the ownership of goods, control of goods, control of prices, custody, execution of contracts and construction of good faith, all of which can be echoed in the management of supply chain.
movable property pledge registration, our property law provides for the registration of chattel mortgage financing is to the movable property pledge is not registered, but the registration of pledge of accounts receivable "way" of the people's bank of draft: "on the same account receivable to set up multiple rights, in the order of the pledgee in accordance with the registration of pledge right." that means the pledge can be registered. repeated pledge is allowed after registration, because after you repeat pledge, you first registered the department priority collection, this is a new regulation, so pledge also want to be registered.
the bank has its own problems, small, medium and micro enterprises system is not complete, low credit, credit evaluation is difficult. office of the central committee of the communist party of china, the state council general office issued "several opinions on strengthening financial services to private enterprises, increase the intensity of financial policy support, to improve the pertinence and effectiveness of financial services to private enterprises, strengthening the financing service infrastructure construction, to resolve information asymmetry of private enterprises, such problems as insufficient credit. one of them is very simple: establish and improve the system of duty exemption, improve the tolerance of non-performing loan assessment, provide upstream and downstream enterprises with order financing and accounts receivable financing without collateral guarantee. the main reason why i give this example is that it is very difficult for small, medium and micro enterprises to get financing. we should give them financing, but we cannot find a good way.
iv.development trend of supply chain finance
first, supply chain finance is carried out within the scope of laws and regulations. with more and more national laws and regulations, we must promote the development of supply chain finance in accordance with laws and regulations.
second, supply chain finance is more dependent on the development of fintech. when big data is used to determine credit granting, risks can be found and controlled early, with small risk probability, fast speed, faster acceptance, loan review, loan lending and delivery, standardized process and transparent operation rules, so as to promote the integration of manufacturing industry, commercial trade industry, financial industry and logistics industry. after the development of science and technology, bank financing than speed, than integrity, than service, than execution. but now there is also a problem, fintech companies involved in financial financing, how to do this? the current attitude of regulators is that fintech companies only provide fintech services, not financial financing, and each does its own thing.
third, develop industrial chain finance. in financial financing, we are right to develop finance along an industrial chain. the association of financial companies statistics show that china's financial companies 253, basically large enterprises in the industry to do. revenue from business operations totaled 264.7 billion yuan in 2018, with a total profit of 196.6 billion yuan. its business model to include financing of accounts receivable, accounts payable, joint inventory impawn financing and factoring financing, discount discount discount, extending industrial chain discount, entrusted loans, payment and settlement, foreign exchange settlement, letter of guarantee, guarantee, insurance agent, pooling financing, leasing and financing, investment, securities investment, equity investment, financial management, financial consulting, corporate bonds, etc. why do i promote it? because the integration of finance and industry has a solid foundation, its risk is greatly reduced because of the integration of industry, because the enterprises in the chain are closely connected.
fourth, the responsibility of the core enterprise. one of the most prominent features of supply chain finance is its connection with core enterprises. what is a core enterprise? we have a concept that this core enterprise is a key enterprise in the industrial supply chain, and its existence determines the existence of the industrial supply chain. the enterprise that masters the core technology, this core technology can be production manufacturing technology, also can manage information technology, production management scale or capital scale occupies the first place in the chain enterprise. but now there is a tendency to put too much responsibility on the core enterprises, so that the core enterprises bear more responsibility, and the core enterprises are already overwhelmed. if the core enterprise falls down, the whole industrial chain will fall down, so the risks of the core enterprise should also be paid attention to. core enterprise scale is big, capital turnover is big. too much money will be wasted. less, will be tight position, credit affected; core enterprises are the high-quality customers of all kinds of financial institutions. they compete for credit granting, which increases the available funds of core enterprises and induces their desire for investment. they hope to further expand their scale, improve their market share, or even monopolize them. when the amount of capital is large enough, they will start to invest in different industries, including venture capital, capital operation, stock market and bond market, etc. if the leverage is too large, the risks will accumulate.
the asset distribution of core enterprises is large and wide, and core enterprises are also facing the pressure of competition. many private enterprises have been very nervous about the capital chain of core enterprises, which is a big problem. in addition, there is a problem that the core enterprise maliciously overtakes the supplier's funds, which affects the liquidity of the enterprise funds in the chain.
finally, i have a summary. there is no doubt that data and finance are important factors for the development of the industry in the future. in addition, credit guarantees and physical guarantees are equally important. supply chain finance is short of carriers and tools. contracts, invoices, warehouse receipts, invoices, and pledge lists can all be used as tools. however, warehouse receipts should be recognized again and the business model should be returned to warehouse receipts and pledge.
the initial stage of risk control is to select customers with good credit, which requires a scientific indicator system and careful evaluation, and then the implementation of online and offline supervision and synchronization. do not build the integrity system completely on the block chain, although the block chain is hot now, but the survival of enterprises, the rules will be broken. to return to the original, guan zhong said two words: "the people's interests, like water down, there is no other choice. food and clothing and then know the honor or disgrace, bin honest and then know the etiquette."
trade friction stems from the conflict of interests between countries. don't take it as a big issue, because trade protection and free trade have been competing with each other for thousands of years. trade protection is the international norm, and the export of goods is the most basic relationship between countries. globalization is the product of specific conditions, it is abnormal, the real normal is the tariff barriers, to protect the interests of the country. so we should relax a little and do our own thing.
source: sina finance and economics