1. Finance company, also known as finance company, is a non-bank institution that provides financial services for enterprise technological transformation, new product development and product sales, focusing on medium and long-term financial business. In China, financial companies are established by relying on large enterprise groups, mainly providing financial services for the technical transformation, new product development and product sales of enterprise group members.
In China, financial companies are established by relying on large enterprise groups, mainly providing financial services for the technical transformation, new product development and product sales of enterprise group members.
2. The role of finance companies
The functions of finance companies are as follows:
(1) The finance company mainly uses its internal settlement function, the time difference, space difference and production link difference of unit capital flow within the enterprise group to effectively gather funds, and uses the credit leverage function to flexibly schedule and arrange the use of funds to realize the optimal allocation of resources within the enterprise group.
(2) Use the existing financial instruments to serve the enterprise group, and become the financing center, settlement center and credit center of the enterprise group, enhance the economic cohesion of the enterprise group, optimize the economic structure of the enterprise group, and promote the benign development of the enterprise group.
As a new type of financial institution, financial companies, together with other types of financial institutions, strengthen the functions of the financial system and promote the division of labor and cooperation among financial institutions.
④ From 65438 to 0987, the first company in China, the Finance Company, was established. The Finance Company has already had a certain scale in China and played its due role in promoting the development of large enterprises in China.