First, the reasons for high asset-liability ratio of enterprises
The reason for the high asset-liability ratio is often that the total liabilities of the company are too high or the total assets are too small. These two factors determine the level of asset-liability ratio. Higher asset-liability ratio is often driven by shareholders or operators. The company's good quality and high asset-liability ratio are the reasons for expanding its operations. If the company's quality is poor, then the high asset-liability ratio is financial risk, and the company may go bankrupt.
Second, the judgment standard of asset-liability ratio.
1, to judge whether the asset-liability ratio is reasonable.
To judge whether the asset-liability ratio is reasonable, we must first look at whose position you stand. Asset-liability ratio reflects the ratio of debt provided by creditors to total capital, also called debt operating ratio.
2. From the creditor's point of view.
They are most concerned about the safety of the money lent to enterprises, that is, whether the principal and interest can be recovered on schedule. If the capital provided by shareholders only accounts for a small proportion of the total capital of the enterprise, the risks of the enterprise will be mainly borne by creditors, which is unfavorable to creditors. So they hope that the lower the debt ratio, the better. If the enterprise can repay the debt, there will be no great risk in lending to the enterprise.
3. From the perspective of shareholders.
Because the funds raised by enterprises through debt play the same role as the funds provided by shareholders, shareholders are concerned about whether the profit rate of all capital exceeds the interest rate of borrowed funds, that is, the price of borrowed capital. When the total profit rate of capital earned by an enterprise exceeds the interest rate paid for borrowing, the profits earned by shareholders will increase. On the contrary, if the profit rate of all capital used is lower than the interest rate borrowed, it will be unfavorable to shareholders, because the excess interest of borrowed capital will be made up by the profit share obtained by shareholders. Therefore, from the standpoint of shareholders, when the total capital profit rate is higher than the loan interest rate, the greater the debt ratio, the better, and vice versa.
Shareholders of enterprises often use debt management to gain control of enterprises with limited capital and limited cost, and can obtain leverage benefits from debt management. So it is called financial leverage in financial analysis.
4. From the operator's perspective.
If the debt is too big for creditors to bear, enterprises can't borrow money. If the enterprise does not borrow money, or the debt ratio is very small, it shows that the enterprise is timid, has insufficient confidence in the future, and has poor ability to use debt capital for business activities. From the perspective of financial management, enterprises should assess the situation and consider comprehensively. When making a decision on borrowing capital by using the asset-liability ratio, we must fully estimate the expected profit and increased risk, weigh the gains and losses between them, and make a correct decision.
Asset-liability analysis
1, analysis of current liabilities
Generally speaking, the higher the ratio of current assets, the safer the creditors are. However, if the current ratio is too high, some funds will be stranded in the form of current assets, which will affect the profitability of enterprises. Therefore, enterprises should determine a reasonable boundary of current ratio. Below this limit, it shows that the asset-liability ratio may be high, the credit of enterprises will be damaged, and it is difficult to borrow money again. Exceeding this limit shows that some funds are idle, and the efficiency of fund use is not high, resulting in a waste of funds.
Short-term loan analysis: the higher the asset-liability ratio of enterprises, the more they borrow from banks. Therefore, when an enterprise decides to borrow money, it must first analyze the market situation and make a judgment on whether to borrow money through the economic environment, economic conditions and economic situation of the market. You can borrow it when the market prospect is good, otherwise it is not suitable. Secondly, it is necessary to analyze whether the profit level of enterprises after borrowing is higher than the loan interest level. If the profit level of the enterprise is higher than the loan interest level, it shows that the enterprise borrowing is profitable. Thirdly, it is necessary to analyze whether the current assets of the enterprise are greater than the current liabilities. If the current assets are greater than the current liabilities, it shows that the enterprise has solvency and can guarantee the rights and interests of creditors.
Analysis of settlement liabilities: Settlement liabilities mainly include notes payable, accounts payable and accounts received in advance. The analysis of settlement liabilities mainly depends on the business reputation of enterprises. This commercial reputation comes from financial institutions and suppliers, mainly reflected in the amount of notes payable, accounts payable and accounts received in advance.
A large number of notes payable, accounts payable and accounts received in advance, on the one hand, show that financial institutions give enterprises comprehensive credit according to their comprehensive reputation and business scale, on the other hand, show that suppliers give enterprises support and trust according to long-term friendly exchanges and cooperative relations, and even should say that suppliers give enterprises preferential prices. Because the increase of settlement liabilities means the increase of asset-liability ratio, the increase of asset-liability ratio has to consider the solvency of enterprises, so as not to limit the refinancing of enterprises. In addition, enterprises should also pay attention to whether suppliers have cash discounts on payment methods. If there is a cash discount, whether the opportunity cost of giving up the cash discount through credit purchase is lower than the loan interest, the enterprise must weigh and decide the purchase method through the analysis of advantages and disadvantages.
Analysis of fixed liabilities: fixed liabilities are interest-free sources of funds, mainly including taxes payable and profits payable. Enterprises should not underestimate the use of interest-free funds, which can not only bring direct benefits that can be calculated, but also bring indirect benefits brought by direct benefits, which cannot be calculated.
2. Analysis of long-term liabilities
Compared with current liabilities, long-term liabilities have the characteristics of long term, relatively high interest rate and possibly larger absolute amount. If enterprises can use long-term liabilities correctly and effectively, it will provide more profit opportunities for enterprises. However, if the enterprise is not well managed, it may form financing risk, aggravate the business risk of the enterprise, and cause high debt and high risk, which is also an important factor affecting the asset-liability ratio. Therefore, the analysis of long-term liabilities is mainly measured from two aspects: one is to use the critical point of borrowing to measure. The critical point of borrowing is the cut-off point where the borrowing interest rate is equal to return on total assets. If the loan interest rate is lower than that of return on total assets, it is feasible to borrow, and vice versa. The second is to judge according to market conditions. If the market prospect is good and promising, it will bring huge profits to the enterprise, then borrowing money is feasible, otherwise it is not suitable for borrowing money.
To sum up, according to the law, the reason for the high asset-liability ratio is often that the total liabilities of the company are too high or the total assets are too small. These two factors determine the level of asset-liability ratio.
Legal basis:
Article 11 of "Several Provisions of the Supreme People's Court on the Execution of Property Involved in Criminal Judgments" stipulates that the property involved in criminal judgments is used by the person subjected to execution as stolen money to pay off debts, transfer or set other rights burdens. In any of the following circumstances, the people's court shall take it back:
(a) A third party accepts it and knows that it is the property in question; (2) A third party obtains the property involved for free or at a price significantly lower than the market price; (3) The third party obtains the property involved through illegal debt repayment or illegal and criminal activities; (4) The third party obtains the property involved by other malicious means.