Wenzhou'S "Collapse Tide" Has Fake &Nbsp; Small And Medium-Sized Enterprises "Change" To Survive.

In view of the rumors that Wenzhou's small and medium-sized enterprises have fallen into bankruptcy.

Wenzhou recently

"At the end of March, Quan Zhezhu, the Deputy Secretary of the United Front Work Department and the Secretary of the National Federation of industry and commerce, led the research group of the Federation of industry and commerce to Hangzhou to investigate the situation of SMEs in Zhejiang, and I made a special trip to report to him."

Zhou Dewen, chairman of the Wenzhou SME Development Association, was impressed by the opportunity to report on the situation of SMEs in Wenzhou last time.

Not only the National Federation of industry and commerce, but also at the same time, there are many national departments and social organizations such as the Ministry of industry, the China Banking Regulatory Commission, the China small and Medium Enterprises Association, and the research report will be sent to the State Council for approval by the state leaders.

The truth of the dilemma

In April this year, Portman and Jiangnan

"Since the first half of this year, SMEs in Wenzhou are facing the biggest predicament since the reform and opening up, and there will be a new round of closure. The number of bankruptcies will be more than that of the 2008 financial crisis."

Zhou Dewen commented on this.

However, the Wenzhou government quickly denied this statement.

Zhou Debin, director of the Research Office of the Wenzhou Federation of Commerce and industry, also said that the closure of the three enterprises is a case and is not representative.

Are SMEs in Wenzhou even more plight than in 2008?

Huang Tian Town, located in Yongjia County, Wenzhou, has reported that more than 100 small businesses have been closed for a month.

"This year, the environment must be worse than the 2008 financial crisis."

In Huang Tian Zhen Huang Tian Xi Street, Xu Zhiyuan, owner of Jingcheng hardware mould factory with four or five workers, answered the question without hesitation. "This year, at least three shuttling moulds have been closed in this street."

Huang Tian town's family businesses are mainly engaged in decorative buttons and mold business. It is said that there are thousands of small businesses, and they are small enough to have 10 "Golden Eagle" (equipment for making moulds, each with a price of about $10 million each).

"The price of raw materials has gone up vigorously, but the price of the moulds produced has not risen, and now the gross profit is only 20%."

Xu Zhiyuan complained that it took 1500 yuan a month to recruit a worker last year, and now it has to earn 2000 yuan, and there is no profit at all.

Some enterprises want to sell the milling machine, but the milling machine worth forty thousand or fifty thousand yuan can only sell over ten thousand yuan.

Ye Jianqing, chairman of Wenzhou Zhen Qing glasses Manufacturing Co., Ltd., has been engaged in glasses manufacturing for 15 years, and has more than 100 workers.

"The enterprise is not a human being, it doesn't mean anything. I'm discouraged."

Most of Ye Jianqing's products are exported, and companies are struggling to survive under rising levels of raw materials, rising wages and soaring exchange rates.

Li Zhongjian, chairman of Wenzhou lighters manufacturing industry, chairman of Wenzhou orient Light Industrial Co., Ltd., has the same feeling.

"In the 90s of last century, there were 1000 lighters manufacturing enterprises in Wenzhou, only 100 left this year, and only twenty or thirty of them are actually doing so."

Li Zhongjian's company has more than 500 employees and exports tens of millions of dollars a year.

"Profits have fallen sharply, and now an order settlement date is 3 to 6 months. Afraid of exchange rate risk, sometimes they dare not answer it."

In Wenzhou, many SME owners say that this year is worse than 2008.

Five reasons

This year, Wenzhou's small and medium-sized enterprises are in a serious predicament. This dilemma is quite different from that of 2008.

Kong Qingtai, vice president of China Association of small and medium business enterprises, pointed out that the reasons for the difficulties of SMEs are very complicated.

"The plight of 2008 is because foreign orders have been reduced. This time, orders are quite different, but profits have been greatly reduced, and even losses have been made."

In his view, Zhou Dewen analyzed the five major causes of this dilemma.

The first is a sharp appreciation of the renminbi. Now the appreciation has exceeded 10%.

Second is the pressure of inflation to bring up raw materials.

The rise of raw materials, Ye Jianqing deeply understand, to make glass raw materials, silver, has increased from last year's 2000 yuan per kilogram to the current 3400 yuan.

Another is the impact of labor shortage and wage increase.

Ye Jianqing said, at present, he hired a worker's minimum wage is 1800 yuan a month, the so-called bottom cost, that is, do not live dry, not less than 1800 yuan per month, and live more by the piece of remuneration, it should be given to 3000 yuan.

Employment wages are rising everywhere, and migrant workers are less willing to work outside the country.

Power rationing is also an important reason for the plight of small and medium-sized enterprises.

For Wenzhou, last year, there was a policy of power cuts for several days per week.

"At that time, the" soft power cut "was designed to save energy and reduce emissions, and now it is a hard power outage because of insufficient power supply.

Ye Jianqing said the power outage was a great harm to the enterprises, because the workers had nothing to do despite the power cuts, but in order to ensure their manpower, they must also be paid.

Expenditure plus loss of production is a great burden to enterprises.

The above four reasons bring difficulties to the survival of small and medium-sized enterprises, but the difficulties brought by the fifth reasons may be even greater. This is the tightening of money by the state, making it even more difficult for small and medium-sized enterprises that have difficulty financing.

No doubt, SMEs have to rely on private lending, and the cost of financing has risen sharply.

According to a survey by the people's Bank of Wenzhou, the lending rates of local banks have risen by 30% to 80%.

In addition, the bank's monitoring showed that at the end of 3, the comprehensive interest rate of the private lending market in Wenzhou was 24.81%, and the monthly interest rate exceeded 2 points, creating a new record in Wenzhou since the monitoring of private lending rates.

"Unlike other places, there will be some capital exchanges between Wenzhou and small and medium-sized enterprises. If a company's capital chain breaks, it will cause three or four companies to go bankrupt at the same time."

Cai Zhijun, chairman of Wenzhou credit trust asset management Co., Ltd.

"Deformation" survival

In the difficult situation of operation, part of the small and medium-sized enterprises in Wenzhou went bankrupt and some of them began to break away from the industry and enter the investment market.

"Now the concept has changed."

Ye Jianqing said that if people used to be afraid of closing businesses in Wenzhou, they would be laughed at by neighbourhood because they would lose face in front of their neighbors.

But now it is the opposite.

"When my friend called, they would ask me," are you still making glasses? "

I said I was still doing it, and they would sigh, 'Why are you still doing it?

It doesn't make money! "

Ye Jianqing also has some regrets, "one year to buy two houses in the field, that is, signing will be able to make money, is not more than you fight here and there, but still lose money?"

Such an idea has long been the actual action of a large number of small and medium-sized enterprises in Wenzhou.

A large number of capital are separated from industry and pformed into "guerrilla forces" in the capital market.

"I call it hollowing out."

Zhou Dewen explained, "we roughly estimate that there are about 1000 enterprises moving out of Wenzhou every year, and the amount of capital outflow is even larger, and it is hard to count."

At present, the mobile capital of Wenzhou people has about 700 billion yuan to 800 billion yuan, which flows to the provinces to participate in the operation of coal speculation and speculation.

"The enterprises that stay and persist are also being pformed."

A local entrepreneur commented.

Take some clothing enterprises in the locals, some large scale clothing enterprises are going to the government, and then rent the factory buildings on the land expropriation.

The government approved only 300 thousand yuan, which is much lower than the market price.

After building several floors, only a small area will be left to maintain production, and other rental rents of a minimum of 10 yuan to 12 yuan per square meter will be returned to the factory in a year.

Enterprises use rents to support employees. These enterprises have actually become real estate companies and property companies.

"There are still some enterprises that have large scale to maintain industry just to borrow money from banks. However, enterprises do not make production after obtaining loans, but they put money at higher interest rates and earn interest rates from them."

A local business people said, "a company with an annual output value of about 100 million yuan can win 1 billion yuan of bank credit."

This person said, "in many cases, there is no way for enterprises to do so. They know that loans will not be profitable if they invest in industry, and they may lose money.

Instead of doing so, it is better to invest in the capital market and make it more secure. These enterprises have actually become investment companies.