Talk about the petty loan company's business philosophy

 

 Today, at an industry conference, I and management problems of small loan company issued a personal opinion, and focus on the business philosophy to talk about some of my views.

 

 In recent years, the petty loan company has make a spurt of progress of development in terms of quantity, scale. But development is extensive, most of the small loan company is not their core values and business philosophy, has not formed the credit culture and the development strategy of their own unique, homogenization phenomenon is very prominent, differentiation, specialization does not reflect, product development, customer development lag, wind control technology is extensive, going in for grandiose projects quick, quick mentality serious.

 

 Small loan company to combine banking experience of successful management of credit and its location and characteristics, adhere to the"Three"AndFourChemical"As the operating guidelines."Three"The safety, liquidity, efficiency, its nature and the focus of the order can not be reversed. No security, no liquidity benefits at all, the formation of a bad debt loss or need some business can be fed back, and the formation of a bad record, also reduced the availability of funds, reducing the liquidity. At the same time, we should adhere to the "no illegal fund-raising, not usury, illegal loans" three red lines do not break.

    

 Liquidity is the basic operation of small loan companies, is the so-called"Water does not rot". Do not think that money is Everything will be fine. release, as long as the payment of interest and repayment is not due to it doesn't matter, actually this is a potential risk for performance, and the number of capital turnover, reducing the liquidity will influence the benefit. Small loan company shall be than bank"The five grade classification"More stringent loan customers accreditation standard, appear on lending to pay attention to, even if the interest on overdue loans risk but also.

 

 

Small loan company at present can only rely on the registered capital as capital, attentionClassSubprime loans increase, will seriously reduce its liquidity, there may also be partly converted into suspiciousClass, lossLoan, also seriously affect the safety of the. A lot of money can not be recovered and then put into a new round of loans, its operation is not good. Therefore, the liquidity affects security and benefit. As long asCanTo charge interest, loanAlsoNever mind the view is wrong.

 

 

Efficiency is the guarantee for the development of small loan companies, but giving priority to efficiency is wrong, benefit is established on the basis of safety and liquidity. Only in ensuring security, speed up the premise of liquidity, in order to have a sustainable benefits. The development of characteristic products and value-added services, but also an effective way to increase efficiency. So, safety, liquidity, efficiency of three is organic and unified, not giving priority to efficiency and neglecting the rest.

 

 

The petty loan company is not more than asset company, investment companies, have different functions and positioning. The first source of repayment to pay special attention to the customer, focuses on customerTheCredit record, asset allocation, liabilities Total Quantity and the structure, life cycle of enterprise, industry and product prospects, cash flow and re financing capacity, profitability, and even corporate governance, team stability, profit model and other factors. After all, there is the cost of disposal of assets, including the time cost, economic cost, manpower cost, legal cost etc.. The disposal of the machinery equipment and cash pledge, more difficult.

 

    

 The petty loan company should insist onFourChemical"Principles, namely small, decentralized, short-term, differentiation. The small loan company's operating funds are limited, don't try to make a small bank or universal finance companies, not with the bank or counterparts in the homogenization of competition, to implement differentiation strategy. Micro refers to a single loan amount is small, the dispersion refers to the industry dispersion, in order to avoid the risk of concentration; period is short, is to meet the liquidity requirements. Large and concentrated increases risk is big customers bundled, be solidified into a community of risk; period is too long, the period change too many factors, and the post loan management does not follow to go up, easy to lose credit initiative.

 

    

Small loan companies can only play a supplementary role in the capital market, adhere to the principle of moderate risk measurement, matching. On the customer demand for funds, only appropriate proportion,Do not take, not to be bound.The goal of small customers can full support, giving priority to the development of strategic customers. Large customers, large funds are generally secondary client bank failed, it is very difficult to become the small credit company's customers and long-term customers, mostly do a pen is a pen,"Short-lived business" are, too small probability into back customers, customer,Temporary, sudden demand,MeetingEffects of small loan companyTheLong term development strategyAnd the business model.

 

 

Small loan companies adhere to the small, decentralized, adhere to customer funds"Patch up"Auxiliary business strategy, not one to eat"Only food", exit mechanism is preferred, can effectively resolve the risk, to avoid becoming"By shareholders"And"BeInvestment"Capital ratio, must adhere to the principle. The bank also has strict rules on single family loans ratio index. Do loans must have sound management, long-term sustainable idea, not more haste, less speed.

 

   

From the national microfinance business model, with the homogenization of the problem more serious business bank loans, business innovation, product innovation lag. With the commercial banks pay more attention to the retail business, to seize the microfinance market trend to accelerate, the petty loan company such as no business sinking, forming a group of loyal customers, increase product development, innovation and business model, it is difficult to sustainable development.

 

 

The difference is characteristic, avoid the homogenization of competition. Small loan company to combine their own external resources, human resources and financial strength, ability to refinance, the follow-up funding ability to find their target customers, develop characteristic product, to study market, customers, needs, identify"Niche market", intensive and meticulous farming, forming the core competitiveness. Don't always follows behind others, imitation, eager for quick success and aggressive, it is difficult to sustainable development.

 

    

The so-called location determines position, small loan companies positioning itself and the external market and customer based, select the same industry can not copy of business marketing model, formed the core competitiveness, in order to lay in the industry status of the political arena, the realization of sustainable development. So"Three",FourChemical"Operating criteria must adhere to the core philosophy follow.

 

Don't try to put the petty loan company to make a small bank, because your source of funding is limited, financing is also a cap, and the opening is too narrow; and banks compete for customers at a competitive disadvantage, banks also rob high-quality small customers. So, small credit must go to micro credit model, customers still need to sink, do banks do not want to do, can't do, can't do customers and business, have a place to live in, and have sustainable development.

 

 

The petty loan company marketing mode by quantity, namely the number of customers, service number, and not on the amount to win. Large customers have high risk, high quality customers are banks; and few customers repeat business, can not do, only a single is a single. To sustainable development, it is necessary to develop and cultivate a large number of small customers, the customers back. This is the difference between industries and business.

 

    

The petty loan company will have to understand their head has a"Small"The word, cannot absorb deposits, not illegal financing, is a prison, the national development of the original intention is also to support"Agriculture"Economy and small enterprises, do not want you to go to the customer. Many littles make a mickle., small big, development system of small customers and the customers back, is the basic development. Fantasy do several large customers Everything will be fine., is not real, it is not sustainable.

 

    

The business development and risk control of financial industry, is a pair of contradictions. Comparison of the financing Guarantee Corporation and banks, microfinance company, more flexible in operation mechanism, the control center control point basis to shorten the approval process; in the group of customers choose to"Grasping a small amplification"With the bank, not fight, adhere to"Small, scattered, short periodPrincipleThe development of long-term, stable, small and medium-sized customers as a marketing focus, in order to remain invincible in future competition.

 

    

The business development and risk control of financial industry, is a pair of contradictions. Comparison of small loan company and bank, more flexible in operation mechanism, the control center control point basis to shorten the approval process; in the group of customers choose to"Grasping a small amplification"Not with the banks, ",ToThe"Small, scattered",The development of long-term, stable and customers as a marketing focus, in order to remain invincible in future competition.

    

 

Now the small loan companies keen to do big, because the team performance, investors to short-term returns. But everything has two sides, big risk, and long-term to do big, not easy to develop small and medium-sized customers, once the ease of money, the company will be no market foundation.

     

Small loans or guarantees, and venture capital, private equity, areStage financing behavior,ButJust look at the short no, for instant success. Brand, reputation, fine management, are very important. High returns to the pursuit of short-term, must sacrifice the long-term target and strategic positioning of enterprises. In reality, look at the long-term boss rarely.

 

 

Core values and business philosophy decided to investors and management team, decide the enterprise development speed and height. If small credit industry, there are kinds of bank business model, business model, micro credit model, which depends on the strength of the enterprise, strategy, concept; some do tiny loans real, market share, store customers, to long-term development, some are large, when period return. Who is good, by the change of the market have the final say. 

 

Enter the small credit industry to make money, profiteering mentality, will weaken the operation process, to relax the risk control cost, increase the risk of hidden dangers, such as the loss of a theory to do the same amount of 4 white-5The pen can retrieve a loss. Deviate"Safety, liquidity, profitability"Industry rules, abandon"Small, scattered, short period"The criterion, only to make money, earn quick money, private lending crisis Wenzhou, Erdos outbreak is a case in point.

The petty loan company should alwaysAdhere to"Three"AndFourChemical"As business principle, "as the basic business sustainable, steady, the innovation, specification". The so-called "continuous", is the development of ideas and business positioning themselves, not for profits and do things by irregular ways, or change their strategy and operation mode, the realization of sustainable development; the so-called "robust", is legal, compliance management policies and regulations, do not break the bottom line and the bottom line of morality, in the positive development of business at the same time to realize the controllable risk; the so-called "innovation", is the market change I can change, implement differentiated marketing strategy, and constantly develop new products, leading the forefront of the market; the so-called "norm", is the implementation of internal standardization management and process operation, according to the product features custom standards and operating procedures, improve management efficiency and service level, also avoid internal operational risk.

Only adhere to the above operating criteria and principle of management, can make the petty loan company in competition on the road more walk more far, bigger and stronger, to achieve sustainable development.