Nowadays, private lending in many areas is different from the previous peer-to-peer private financing with the original intention of supporting private enterprises, but has evolved from "acquaintance lending" to operational lending between strangers, in which small and medium-sized business owners are widely involved. In the changes in the business situation in recent years, small and medium-sized enterprises, as the financing party, have become one of the main flows of private funds.
Since the earliest private lending crisis in 2011, illegal fund-raising cases related to it have emerged in endlessly, and large-scale risk events have occurred in areas where private lending has been active before, such as Shenmu, and other small cities have also had cases. Why did the private financing, which had played a role in the prosperity of the private economy, show so many negative effects in the period of economic transition in our country?
Nowadays, private lending in many areas is different from the previous peer-to-peer private financing with the original intention of supporting private enterprises, but has evolved from "acquaintance lending" to operational lending between strangers, in which small and medium-sized business owners are widely involved. In the changes in the business situation in recent years, small and medium-sized enterprises, as the financing party, have become one of the main flows of private funds.
Moreover, with the emergence of some professional lenders, private lending has shown the characteristics of commercialization and capitalization. Idle private funds are often concentrated in the hands of some business owners who borrow large amounts of foreign debt through these professional intermediaries, and show the tendency of usury. This is an important reason for the increasing amount of illegal fund-raising cases and the increasing number of participants in recent years.
Some people in the industry remind that as the real estate market enters the adjustment period, some small and medium-sized developers are tight in funds, and if they borrow private funds on a large scale, it is likely to make hidden debt explicit, and some real estate trusts and private funds may be dragged down by it. This is not only true in the real estate industry, but also in other industries, some enterprises with difficulties in operation will turn to private financing when they cannot obtain financial support from banks and other institutions. However, lenders lack the ability to control risks and are tempted by high interest rates, and it is easy to blindly lend money without understanding the financial and real operating conditions of enterprises.
It is understood that the capital absorbed by the World silk fashion home textile boss is as high as hundreds of millions of yuan. The reality is that in recent years, the illegal fund-raising cases involving a large amount of money have mostly occurred in these private enterprises that originally had a strong strength and a good reputation.
Because private lending is in the supervision blank and extremely hidden, it is impossible to take prior or in-process supervision like financial institutions, so only when the risk appears, the relevant subjects realize that it has evolved into a criminal case with greater impact. END