The management mode of most small and medium-sized enterprises is relatively old, and the ownership and management rights are highly unified. Investors of enterprises are also managers of enterprise operations. Moreover, a considerable number of small and medium-sized enterprises belong to individual and private nature, and there are serious problems of centralization and family management. Enterprise managers often regard the enterprise as an extension of the whole family property, unwilling to disperse ownership for complete control, weak concept of financial management, generally ignoring the core position and role of financial management, failing to incorporate financial management into the effective mechanism of enterprise management, lacking due understanding and research on the theoretical knowledge and methods of financial management, and often failing to apply advanced financial management technologies and methods. This situation has caused the confusion of enterprise financial management, seriously affected the competitiveness of enterprises, and made enterprises lose many opportunities for growth.
2. The financial management system is imperfect and the internal control mechanism is weakened.
Small and medium-sized enterprises are generally short of management talents, with simple management organization, imperfect financial management system and weak internal control mechanism, which is embodied in the lack of regulations on post responsibility system, accounting treatment procedure system, internal containment system and audit system of financial personnel, resulting in many problems in financial management. Many small and medium-sized enterprises do not have internal audit institutions, and even if they do, their functions are seriously weakened, making it difficult to ensure the independence of internal audit and to correctly evaluate financial information and the performance of management departments at all levels.
3, the lack of high-quality financial personnel, financial management is difficult to standardize.
Managers of small and medium-sized enterprises often employ financial personnel with low quality and multiple roles based on the consideration of cost saving, and enterprises rarely carry out continuing education and training for financial personnel. Although some financial personnel of small and medium-sized enterprises have certain professional knowledge and skills, their financial management concepts are lagging behind, their financial management knowledge is lacking, their financial management methods are backward, their initiative to master knowledge is lacking, and their innovative spirit and ability are lacking. There are some problems, such as paying more attention to accounting than management, paying attention to capital operation and ignoring subsequent financial data processing and economic dynamic analysis. Financial personnel are not good at financial analysis at all, let alone put forward reasonable financial suggestions that are beneficial to the long-term benign development of enterprises, which have a serious adverse impact on financial management to a certain extent.
4. Weak management foundation and lax internal control.
Because the management mode of small and medium-sized enterprises integrates ownership and management rights, enterprises have great subjectivity in decision-making and management, and lack a set of standardized and operable financial control methods. First, lax cash management leads to idle or insufficient funds. Second, the turnover of accounts receivable is slow and it is difficult to recover funds. The reason is that there is no strict credit policy and no effective collection measures, and accounts receivable cannot be cashed or bad debts are formed. Third, the inventory control is weak, resulting in sluggish funds. Fourth, money is more important than power, and the loss of assets is serious. Many managers of small and medium-sized enterprises have poor management of raw materials, semi-finished products and fixed assets, and their financial management responsibilities are unclear, resulting in serious waste of assets.
5. Lack of scientific financial control and softening of capital operation mechanism.
The financial control of small and medium-sized enterprises is generally weak, and the fund operation mechanism is softened, which causes idle or wasted funds, seriously affects the capital turnover and reduces the profitability of enterprises. Its main manifestations are: First, some small and medium-sized enterprises think that the more cash (including bank deposits, etc.). The better, the higher the reserve ratio, and some funds do not participate in the production and operation turnover, resulting in idle funds; Some small and medium-sized enterprises lack planned arrangements for the use of funds, and cannot allocate funds according to the needs of enterprises, which often leads to the shortage of urgently needed funds for operation and financial difficulties. Second, in order to occupy the market in the fierce competition, small and medium-sized enterprises often take more commercial credit publicity, without formulating strict credit sales policies, resulting in a large number of accounts receivable. However, due to the lack of strict management methods, accounts receivable are difficult to recover, unable to cash or form bad debts. Third, many small and medium-sized enterprises lack effective inventory management, inventory planning, regular inventory supervision and inspection system, and the control of daily inventory is not in place, resulting in excessive inventory funds, resulting in sluggish funds and ineffective turnover, which makes limited funds unable to play a better role and form a vicious circle.
6, the lack of scientific demonstration of investment, investment direction is difficult to grasp.
On the one hand, small and medium-sized enterprises are generally small in scale and have a large proportion of loan investment, so they always pursue short-term goals, hoping to recover their investment and repay their debts as soon as possible, and lack a clear industrial development direction. This short-term behavior lacks a steady and comprehensive consideration of the long-term development of enterprises, which restricts the ability of small and medium-sized enterprises to compete with large enterprises in the fierce market competition and puts them at a disadvantage for a long time. On the other hand, due to the backward financial management of small and medium-sized enterprises, the economic information on which decision-making is based is incomplete and untrue. In the process of investment decision-making, there is a lack of scientific, thorough and systematic financial analysis and demonstration of the feasibility of investment projects, as well as accurate and powerful financial prediction, decision-making, budget control and analysis, which makes it difficult to grasp the correct investment direction and easily leads to blind and unreasonable investment.
7. Lack of risk management awareness and risk control mechanism.
Small and medium-sized enterprises may face great risks in their operations due to their own defects, and many small and medium-sized enterprises lack the awareness of risk management. Small and medium-sized enterprises generally focus on product production and marketing, pay little attention to business risks, and lack control mechanisms to prevent and reduce risks. For example, some small and medium-sized enterprises blindly invest in diversification in order to seek development, while ordinary small and medium-sized enterprises can hardly meet the higher requirements of diversified investment on enterprise management ability and scale. Moreover, diversified investment is prone to various risks, and the diversification of financial resources may not necessarily bring better return on investment, which may lead to difficulties in capital turnover.