Chapter 600 Looking for a Loan

Chapter 600 Looking for a Loan

Financing private enterprises has always been a problem, and it has always been difficult to get loans from banks.

It is also because of the difficulty in financing that most private enterprises will choose to go public after reaching a certain scale to solve the problem of corporate financing.

Of course, there are also capitalists who simply seek to make money. These types of people can no longer be regarded as entrepreneurs. A real entrepreneur will not raise funds for the sole purpose of making money.

In the early 1990s, banks were begging for loans from others. At that time, the loan interest rate was as high as ten percent, which was a legal usury. Naturally, banks were rushing to take out loans.

It was also in the process of enterprise reform in the 1990s that too many enterprises went bankrupt and closed down, which also caused banks to have a large number of bad debts to repay, so bank loans to enterprises gradually became stricter.

Especially after the commercialization of banks, they pay more attention to economic benefits. Every loan is a business, and they must focus on profitability. This has also exacerbated the difficulties of private enterprises in taking out loans.

The financial industry is destined to dislike the poor and love the rich. The more capital-deficient companies need loans, the more banks are reluctant to lend, and the more money they have in their hands, the more companies that do not need loans, the more banks are rushing to send money.

In fact, when financial institutions issue loans, the first consideration is the safety of capital, and the second is profitability.

Security is easy to understand, that is, whether it is safe to give you money, and to lend money to others, the first thing to consider is whether the money will go to waste.

If the lender is an enterprise, then the financial institution has the opportunity to evaluate a series of factors such as the industry, market, competition, operation, management, technology, etc. of the enterprise. To put it bluntly, it is whether you have the ability to repay.

However, many private enterprises, especially small and medium-sized private enterprises, have irregular operation and management, backward technology, insufficient corporate credit, and very limited assets. Banks are naturally reluctant to lend.

In addition, the cash flow of enterprises is also a major factor for banks to consider. After all, cash flow is the first source of bank repayment.

However, the financial statements of small and medium-sized enterprises are usually not audited by professional accounting firms, and there are many cases of smuggling accounts. The accounts are not accurate and have little reference to banks.

The bank cannot verify the authenticity of the information provided by the enterprise, so it cannot judge the real business situation of the enterprise, so it simply chooses not to lend for the safety of funds.

I'd rather make less money,

Don't do business at a loss!

It is also because loans are difficult and the loan interest is high, so Li Weidong's companies hardly seek bank loans in the process of expansion, but mainly use their own cash flow.

In terms of electrical appliance factories, they are mainly engaged in the OEM of home appliances. This is a labor-intensive industry. In fact, they are only responsible for production, not sales. Although they make hard money, they do not need to bear market risks.

Regardless of whether the product can be sold or not, I will earn the processing fee first. This is a characteristic of OEMs. Only when building a factory requires a relatively large amount of capital. Once production is on the right track, the cash flow will be relatively healthy, and there is not much demand for bank loans.

Puppy Electric Company, in the past few years, has made some money by relying on high-profit products such as soymilk machines and microwave ovens. Later, Li Weidong launched a price war, and the price of Puppy Electric's products was greatly reduced, and this part of the profit was diluted.

Fortunately, Puppy Electric has successfully entered the Japanese market, and has made huge profits by selling beauty products. The flow of funds has always been relatively healthy.

Puppy health originally started out by selling health care products. Health care products are real profits, and puppy health is even richer. If you count it carefully, in the past ten years, puppy health has been Li Weidong's biggest source of income.

The benefits of Fukang Engineering have also maintained steady growth, thanks to the country’s continuous investment in assumptions, and recently it has just won a large order from India. The company’s cash flow is very abundant, and it is enough to buy another piece of land to build a new factory. .

As for Fukang Agricultural Machinery, it has made huge profits with the agricultural tricycle in the past few years. In the past two years, it has maintained a good performance by selling cotton harvesters.

Moreover, Fukang Engineering and Fukang Agricultural Machinery are both traditional machinery manufacturing enterprises. Under the normal operation of the enterprise, as long as they do not launch major projects, they will not need financing.

These manufacturing industries that Li Weidong does have relatively healthy capital, and there is no need to seek bank loans.

But the wholesale mall is different. The wholesale mall is not a manufacturing industry, but is related to commerce, which is precisely commercial real estate.

Commercial real estate is also real estate. In the real estate business, you don’t go to the bank to get a loan, but you get real money yourself. Isn’t that stupid?

If Li Weidong's wholesale mall wants to continue to expand, it must solve the problem of loans.

...

President Wu brewed a good Pu'er, added tea to Li Weidong himself, and said at the same time, Chairman Li, it's not that I don't want to take a loan, but it is indeed difficult to get a loan for a company.

You also know that a lot of companies went bankrupt in the past few years, and the loans issued by our banks were also in vain, which only brought us huge losses. Therefore, the loans have generally been tightened in the past two years, and the review has also been relatively low. strict.

Take our bank for example, but any loan exceeding 3 million must be reported to the provincial bank, and if it exceeds 10 million, it must be reported to the head office in Beijing. The loan amount you want must not only be reported, but also approved by the head office.

Li Weidong took the teacup and took a sip, then said, President Wu, as far as I know, it is easy for state-owned enterprises to get loans, right? I won't talk about other enterprises. The transportation company wants to build a new bus station, and the loan will be approved immediately. !

Speaking of which, the efficiency of transportation companies in recent years has not been very good. They have sold their cars to individuals, and they have also contracted out passenger routes. They only earn a little bit of income by collecting contract management fees.

After all, the transportation company is a state-owned enterprise, so the state has the bottom line. And the new bus station project is also a key project planned by the city. It is a people's livelihood project, and we are more secure in lending.

President Wu paused, then said: Chairman Li, the wholesale mall you are going to build is a commercial project after all, so it is risky, and with such a large amount of funds, the possibility of approval by the head office is not high.

Then I'll take a mortgage loan, so that's the head office! Li Weidong asked.

If there is a mortgage, I can try to convince the leaders of the head office. President Wu continued to ask; Chairman Li, what are you going to take as a mortgage? We agreed in advance that we will not accept the mortgage of machinery, equipment and goods.

In the past, banks were willing to accept mortgages of machinery, equipment and goods. Especially in the 1990s, many companies mortgaged production equipment and products to banks to obtain loans in order to obtain funds.

However, the depreciation speed of machinery and equipment is too fast, not to mention that the machinery and equipment mortgaged by many enterprises are relatively old, and they will not pay in the future. The machinery and equipment recovered by the bank can only be sold as scrap iron. .

The situation of goods mortgage is similar. Many enterprises are short of funds. In the final analysis, the products they produce are relatively old and cannot meet the market demand. If the products cannot be sold, the enterprises will naturally be short of money.

Enterprises can't sell these products themselves, how can banks find a way to sell them? Therefore, even if this collateral falls into the hands of the bank, it is similar to distribution.

In this way, whether it is using machinery and equipment as collateral or using goods as collateral, the bank will lose money.

The bank also knows that it is too troublesome to dispose of machinery, equipment and goods, and the cost cannot be recovered, so they simply do not accept the mortgage of machinery, equipment and goods.

Li Weidong knew the doorway here, so he said, I can use the land and real estate of the wholesale mall as a mortgage.

President Wu frowned slightly, and then said, Chairman Li, I remember that the textile wholesale mall has been mortgaged. You are building the small appliance wholesale mall, didn't you use that loan to build it?

The small home appliance wholesale mall has been built. I can use this small home appliance wholesale mall as a mortgage to apply for a loan. Li Weidong said.

I'm afraid it will be difficult. President Wu continued: At the beginning, we were willing to accept the textile wholesale mall as collateral, mainly because the textile wholesale mall was successfully opened, and the rent and management fees you collected can be used to repay this loan.

But now the small home appliance wholesale mall has not yet opened, and we don't know whether this project can make money. If the project is not successful, it will only be a useless empty building, worthless.

Even if the small home appliance store can't be built, isn't there still land! Li Weidong said, but as soon as the words came out, he immediately realized that this was 2000, not 20 years later, and the land was not valuable.

Sure enough, President Wu said: The land is not worth a lot of money, and the money received is very limited.

In the future, housing mortgage loans will be 30% off, commercial stores 40% off, factories and land use rights mortgages 50% off, and the mortgage ratio of school district housing and prosperous shops will be higher.

However, in 2000, housing prices had not risen yet, and the mortgage discount for real estate was much lower than in the future;

Li Weidong thought for a moment and said, Well, I can use the company's shares as collateral to apply for a loan.

The shares of Fukang Factory or Fukang Agricultural Machinery may be possible, but the shares of the mall management company are definitely not.

President Wu went on to explain: At present, the profit of the mall management company mainly depends on the rent of the textile wholesale market, but the textile wholesale market has been mortgaged, which is equivalent to a mortgage, and the head office has made two mortgages. However.

Li Weidong frowned. The shares of Fukang Engineering and Fukang Agricultural Machinery will be of great use in the future.

At least two companies have the possibility of going public, so the equity must be clearly defined. If they are mortgaged, the approval from the CSRC may be troublesome when they are listed.

President Wu went on to say: In fact, even if you use the shares of Fukang Engineering or Fukang Agricultural Machinery as a pledge, it will take a long time to review. After all, you are not a listed company. The head office has to review your financial statements and only dare to lend if you meet the conditions. .

Loans to banks with shares are a type of pledged loans, and the most pledged loans made by banks are also stock pledges.

However, the stocks of listed companies are often used for stock pledge, because the stocks of listed companies have an actual price, and the financial reports are relatively transparent, so the bank can clearly understand the company's situation.

If it is not a listed company, it will be more troublesome to pledge the shares. Banks need to evaluate the value of the shares and check the various financial reports of the company. They must be companies with better profitability before giving loans.

As for the shares of SMEs, they are usually insulated from pledged loans.

Lending time is too long, and it will delay things. Li Weidong directly made an excuse to refuse.

Then I don't have any other options. President Wu spread his hands.

Li Weidong pondered for a moment, then asked, President Wu, if I apply for a real estate development loan, is there a high chance that it will be approved?

Well... President Wu frowned and thought for a while, then said; I really don't know about this, because I have never done this kind of business here.

As far as I know, the companies applying for real estate development loans are all real estate companies in big cities or southern coastal areas, especially in the Pearl River Delta.

In a small place like Qinghe, there is still no decent real estate developer, and no one has applied for such a thing, so I don't know if you can apply for it or not.

Li Weidong said: I also know that it is difficult to apply for a real estate development loan, but it depends on people. I still want to give it a try, so I will ask President Wu for the process. As for other aspects, I will find a way!

...

Real estate development loans refer to project loans issued to real estate development enterprises for housing, commercial housing and other real estate construction, and the loan period generally does not exceed three years.

If a real estate development enterprise wants to obtain this kind of loan, it must first obtain the land use right, planning and investment license, construction license, construction license, etc. of the loan project, and the commercial housing must also have a pre-sale license.

The project must also be consistent with the declared purpose and function, the project budget and construction plan must comply with laws and regulations, and the investor must invest at least 30% of the project capital in advance, so that the bank can borrow the remaining 70%.

Many people in later generations say that real estate developers use bank money to build houses, which is actually the real estate development loan.

This is because as long as the project is compliant, the documents are complete, and 30% of the capital is invested, you can get a loan, which is similar to a credit loan.

In addition, there is a pre-sale policy for real estate, and real estate development companies can sell houses in advance to collect funds. The actual investment capital is actually less than 30%. Therefore, some people say that developing real estate is empty-handed.

And the real empty-handed white wolf is the one who holds a floor plan and points to an open space to pre-sell illegally.

Wait for the advance payment to receive 30% of the amount, and then use the money to go to the bank to apply for a real estate development loan to complete the entire project. In this case, you don’t have to pay a penny, and you can borrow 100%.

In the past, the funds of the so-called real estate companies broke down, resulting in unfinished buildings. Nine times out of ten, that was the case.

The real estate company first draws up a plan, or digs a foundation, or even starts building the house, just to receive an advance payment.

Sometimes the advance payment is less than 30%, or the project does not match the declaration, and the real estate development loan cannot be approved, the capital chain will naturally break, and then the house will be unfinished! The developers swept away the rest of the money, and those who paid in advance suffered the losses.

Therefore, the relevant departments will keep reminding that when buying a house, you must look for the so-called complete five certificates. This is not only related to issues such as the issuance of real estate certificates later, but also because only projects with complete five certificates can apply for real estate development loans. The funding chain of this project is guaranteed.

Before 2003, it was relatively difficult to apply for this real estate development loan.

First, it was because the banks were still in the stage of commercial transformation and were more cautious about lending. It was not until 2004, when the State Council launched the shareholding reform of state-owned banks, that it began to improve.

The main reason is the national policy. Until June 2003, the Central Bank's Notice on Further Strengthening the Management of Real Estate Credit Business was still in control of real estate development loans. Since the state is in control, banks will naturally not lend money easily.

Until August 2003, the State Council promulgated the Notice on Promoting the Sustainable and Healthy Development of the Real Estate Market, which is the famous document No. 18 in the real estate industry, requiring continue to increase credit support for qualified real estate development companies and real estate projects. .

Since then, real estate development credit has been gradually liberalized. With the support of bank credit, Chinese real estate companies have officially embarked on the road of rise.

In 2000, due to various restrictions, only housing companies with deep backgrounds and strong relationships could have the opportunity to obtain this real estate development loan. Ordinary real estate companies, even if they are eligible, have difficulty applying for real estate development loans.

There are still more than 100 monthly tickets left. It is the last two days of this month. My lovely book friends have worked hard to help pass the test. Xiaosheng would like to thank you all here!