In 2012, the total liabilities of 648 listed companies was 1,888,686,561 million, up 22% compared to 2011. In which, the utility - community sector had the highest increase in total liabilities, up 162%. ; followed by industries: Arts and entertainment services (up 109%), Manufacturing (up 34%)… Besides, there are also a number of industries with a decrease in total liabilities such as: Support services - services waste treatment and recycling services (down 19%), Education and training (down 12%), Agriculture - Forestry - Fisheries production (down 7%)…
1.3.3.3. Debt/Equity Ratio
Debt is an important source of funding in the capital structure of a business, debt has a double impact on maximizing profits for owners. A right capital structure decision can amplify returns for owners. On the contrary, if the enterprise borrows but uses the loan source inefficiently, it will make the profit of the business decrease sharply. The following is an analysis of the current capital structure situation of listed companies.
Table 1.6 Debt/Equity ratios of listed companies (times)
| STT | Industry group | 2010 | 2011 | 2012 |
| first | Communication technology | 1.46 | 1.38 | 1.48 |
| 2 | Professional services – Science – Technology | 0.67 | 0.94 | 0.86 |
| 3 | Support services – Waste treatment and recycling services | 0.85 | 0.95 | 0.77 |
| 4 | Accommodation and food services | 0.76 | 0.34 | 0.42 |
| 5 | Education and training | 0.08 | 0.02 | 0.02 |
| 6 | Extractive | 1.92 | 1.79 | 1.88 |
| 7 | Arts and entertainment services | 0.06 | 0.13 | |
| 8 | Manufacture | 0.92 | 1.01 | 1.17 |
| 9 | Agriculture - Forestry - Fishery production | 0.38 | 0.43 | 0.31 |
| ten | Commercial (Wholesale and Retail) | 1.86 | 2.07 | 1.97 |
| 11 | Community Utilities | 1.21 | 1.28 | 1.10 |
| twelfth | Transportation and Warehousing | 1.23 | 1.25 | 1.20 |
| 13 | Construction and real estate | 1.17 | 1.19 | 1.45 |
| 14 | Finance and insurance | 8.11 | 9.01 | 8.39 |
| 15 | Other services | 8.09 | 13.64 | |
| Add | 4.29 | 4.73 | 4.55 |
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Factors affecting the ability to access bank credit of enterprises listed on the stock market - 1 -
Factors affecting the ability to access bank credit of enterprises listed on the stock market - 2 -
Current Status Of Listed Companies On Vietnam Stock Market -
Factors affecting the ability to access bank credit of enterprises listed on the stock market - 5 -
Factors affecting the ability to access bank credit of enterprises listed on the stock market - 6
Source: Author's compilation from data on chungkhoanphuongnam.com.vn
The average debt/equity ratio in 2012 was 4.55 times, which is quite high, showing that listed companies use the form of debt financing quite a lot. Considering each industry group, there are two groups of industries with very high debt/equity ratio: other services (13.64 times), finance and insurance industry (8.39 times).
Consolidated report of a number of industries with low Liabilities/Equity Ratio, namely: Education and training (0.02), Arts and entertainment services (0.13), Manufacturing Agriculture - Forestry - Fisheries (0.31)…
1.3.3.4. Debt index in periods
Table 1.7 Ratio of short-term and long-term debt / Equity of listed companies (%)
| STT | Industry group | 2010 | 2011 | 2012 | |||
| Short- term debt | Long- term debt | Short- term debt | Long - term debt | Short- term debt | Long- term debt | ||
| first | Technology - Media information | 114% | 35% | 103% | 35% | 107% | 39% |
| 2 | Professional services – Science – Technology | 81% | 5% | 92% | 2% | sixty four% | 2% |
| 3 | Support services – Waste treatment and recycling services | 60% | 18% | sixty four% | thirty first% | 34% | 51% |
| 4 | Lodging and dining drink | 40% | 2% | 29% | 5% | 38% | 38% |
| 5 | Education and training | 2% | 0% | 2% | 0% | 7% | first% |
| 6 | Extractive | 108% | 80% | 89% | 90% | ninety three% | 98% |
| 7 | Arts and entertainment services | twelfth% | first% | 5% | first% | ||
| 8 | Manufacture | 82% | 35% | 77% | 25% | sixty seven% | 25% |
| 9 | Agriculture - Forestry - Fishery production | 25% | 6% | 38% | 5% | 34% | 4% |
| ten | Commercial (Wholesale and Retail) | 173% | 24% | 169% | 37% | 145% | 41% |
| 11 | Community Utilities | 54% | 56% | 47% | 81% | 38% | 83% |
| twelfth | Transportation and Warehousing | 50% | 70% | 44% | 81% | 35% | 88% |
| 13 | Construction and real estate | 82% | 63% | 71% | 48% | 72% | 45% |
| 14 | Finance and insurance | 678% | 161% | 746% | 155% | 683% | 128% |
| 15 | Other services | 1364% | 0% | 809% | 0% | ||
| Add | 355% | 100% | 380% | ninety four% | 347% | 83% |
Source: Author's compilation from data on chungkhoanphuongnam.com.vn
The table above shows that most of the debts of listed companies are short-term debts, in 2012 the short-term debt ratio was 347% of the equity, while the long-term debt ratio was only 83% of the equity. possess. This speaks to the unsustainability in capital structure. Because maintaining a capital structure that favors short-term debt too much will also increase the risk of future loan repayments and at the same time not have the resources to pay short-term debts as they come due.
CHAPTER 1 SUMMARY
In Chapter 1, the author outlines the factors affecting the ability to access bank credit and presents the current situation of listed companies on Vietnam's stock market . In addition, the author has summarized and presented a number of research results around the world on factors affecting the ability of enterprises to access bank credit . In the next chapter, the author will present a research model including model building and selection of variables to represent the model.
CHAPTER 2
RESEARCH METHODS AND RESEARCH MODEL
2.1. Data source and sampling method
2.1.1. Data source
– Official data is collected from audited financial statements for 2010, 2011, 2012 of companies listed on the Ho Chi Minh City Stock Exchange (HOSE) and Hanoi (HNX). Information collected is the production and business situation, financial situation by industry of listed companies through the websites of Ho Chi Minh City Stock Exchange, Hanoi Stock Exchange, Phuong Nam Securities Joint Stock Company...
2.1.2. Sampling method
Within the scope of this topic, the author uses the stratified sampling method to select the research sample, specifically:
First, the author divides the overall study into two groups according to criteria related to the research purpose, which are enterprises according to the stock exchange (Ho Chi Minh City and Hanoi Stock Exchange) and the number of sample units selected in each. The group follows the proportion of the number of units that the group occupies in the study population. Then in each group, the author uses the systematic random sampling method to select the units of the sample.
Based on the sample size selection table prepared by Krejcie &. Morgan (1970) announced (see Appendix 1), and according to the Ho Chi Minh Stock Exchange and the Hanoi Stock Exchange, the total number of listed companies as of August 20, 2013 on these two exchanges is 737, excluding 40 enterprises in finance & insurance industry, the number of enterprises in the overall study is 697 enterprises, so the study selected a sample size of 242 samples.
In addition, the total number of enterprises listed on the Ho Chi Minh Stock Exchange is 293 enterprises, accounting for 42.04%; the total number of enterprises listed on the Hanoi Stock Exchange is 404 enterprises, accounting for 57.96%. Therefore, the author divides the number of samples on each stock exchange according to the following ratio: the Ho Chi Minh Stock Exchange is 102 samples and the Hanoi Stock Exchange is 140 samples.
2.2. Research Methods
- Qualitative research
Using exploratory research, specifically through secondary documents, including background theories and previous scientific studies, to answer 2 questions:
+ What factors affect the ability of enterprises to access bank credit?
+ How to determine the correlation between access to bank credit and factors such as the number of years of operation of the company, revenue growth, fixed asset growth, profitability, company size company, gender, connection to the bank?
The answer to question 1 is in chapter 1, part 1.1 (factors affecting access to bank credit). To answer question 2, participants conduct quantitative research.
- Quantitative research
In the study, the author uses an econometric model, specifically a probit regression model, to determine how the research factors affect the ability of enterprises to access bank credit. Software used is SPSS 18.0
Detailed steps are as follows:
+ Based on existing studies and similar to this research topic of scientists around the world, proposing an appropriate model in Vietnam when studying the factors affecting credit access. corporate bank.
+ Based on a theoretical overview to identify research hypotheses, research factors have a positive or negative impact on the ability to access bank credit of enterprises.
+ Using SPSS 18.0 software to test the proposed model, thereby giving the research results to compare with the results of previous studies.
2.3. Research variables and models
2.3.1 Research variables
The variables used in the research model are described in detail in the following table:
Table 2.1 Definition of variables in the research model
| Variable Type | Symbol | Define | How to set variable value |
| Rendering of | NL | variable cannot borrow | 1 if the company cannot get a bank loan , 0 otherwise |
| Dependent variable up | AGE | number of years of operation of the company | Number of years of operation of the company |
| Dependent variable up | SALESINC | revenue growth variable | 1 if the company has annual revenue survey damage increased versus the previous year, 0 if otherwise |
| Dependent variable up | FIXEDINC | fixed asset growth variable | 1 if the company has fixed assets in the survey increased from a year earlier, 0 if otherwise |
| Dependent variable up | NOPROFIT | unprofitable variable | 1 if the company is not profitable in the survey, 0 if the case of other |
| Dependent variable up | LARGE | large company size | 1 if large-scale enterprises (in total capital and option trades), 0 if otherwise |
| Dependent variable up | MEDIUM | medium size company | 1 medium-sized enterprises if (according to total capital and option trades), 0 if otherwise |
| Dependent variable up | FEMALE | The gender of the company's owner is female | 1 if the company's owner is female, 0 otherwise |
| Dependent variable up | ACCOUNTS | Bank account | 1 if the company has a bank account , 0 otherwise |
Control variable | OWN | largest controlling stakeholder | 1 if the State 0 if the other |
Control variable | SECTOR1 | line of business 1 | 1 if communication technology, 0 otherwise |
Control variable | SECTOR2 | line of business 2 | 1 if the service sector, 0 if the other |
Control variable | SECTOR3 | business lines 3 | 1 if staying dining sector, 0 if otherwise |
Control variable | SECTOR4 | business lines 4 | 1 if the manufacturing sector, 0 if the other |
Control variable | SECTOR5 | business lines 5 | 1 if mining (oil and gas), 0 otherwise |
Control variable | SECTOR6 | line of business 6 | 1 if the trade sector, 0 if otherwise |
Control variable | SECTOR7 | business lines 7 | 1 if construction and real estate , 0 otherwise |
Control variable | NC | number of competitors in the domestic market | Number of competitors in the domestic market |
Control variable | EXPINC | export | 1 if the company's exports have increased in the survey year compared to the previous year, 0 otherwise |
Control variable | DOMESTIC | domestic sales rate | Domestic sales rate |
Note
– The variable that cannot borrow (NL) includes companies that do not have a balance of short-term debt accounts and long-term bank accounts at the time of December 31 of the survey year.
– Variables of large company size (LARGE), medium size company (MEDIUM): criteria to evaluate small, medium and large enterprises in Vietnam according to Decree No. 56/2009/ND-CP of the Government:
Article 3. Definition of small and medium enterprises
1. Small and medium-sized enterprises are business establishments that have registered their business in accordance with the law and are divided into three levels: micro, small, and medium according to the size of their total capital (total capital is equivalent to total assets). determined in the balance sheet of the enterprise) or the average number of employees per year (total capital is the priority criterion), specifically as follows:
| Scale | Micro business | Small Business | Medium Enterprise | ||
| Area | Number of employees | Total capital | Number of employees | Total capital | Number of employees |
| I. Agriculture, forestry and industrial and marine products | 10 people or less | 20 billion or less | from more than 10 people to 200 people | from over 20 billion VND to 100 billion VND | from over 200 people to 300 people |
| II. Industry and construction | 10 people or less | 20 billion or less | from more than 10 people to 200 people | from over 20 billion VND to 100 billion VND | from over 200 people to 300 people |
| III. Trade and services | 10 people or less | 10 billion or less | from more than 10 people to 50 people | from over 10 billion VND to 50 billion VND | from over 50 people to 100 people |
– Bank account variable (ACCOUNTS): this variable takes the value of 1 if the company has a bank deposit account balance as of December 31 of the survey year, this variable takes the value of 0 in the opposite case. again.
– Variables SECTOR1, SECTOR2, SECTOR3, SECTOR4, SECTOR5, SECTOR6, SECTOR7: author subdivision based on industry data collected from website www.chungkhoanphuongnam.com.vn.
2.3.2 Setting up the research model
As described in the object and scope of the study, the thesis will focus mainly on studying the impact of factors affecting the ability to access bank credit of enterprises listed on the stock market. Vietnam. Based on the previous research models presented in the theoretical basis, research results and actual conditions of Vietnam, the project builds a regression model as follows:
NL = β0 + β1 * AGE + β2 * SALESINC + β3 * FIXEDINC + β4 * NOPROFIT + β5 * MEDIUM + β6 * LARGE + β7 * FEMALE+ β8 * ACCOUNTS + β9 * OWN + β10 * SECTOR1 + β11 * 12 SECTOR2 + β13 * SECTOR4 + β14 * SECTOR5 + β15 * SECTOR6 + β16* SECTOR7 + β17 * NC + β18 * EXPINC + β19 * DOMESTIC +
2.4. Research hypothesis
– The number of years of operation of the company and the possibility of limited access to bank credit The older the company, the more it proves that the company's ability to manage and compete is good, so it can survive in the market. In addition, they also accumulate a stable number of customers and have a more stable source of income than startups.
Hypothesis H1: The number of years of operation of the company has a negative effect (-) on the ability to have limited access to bank credit
– Revenue growth and limited access to bank credit
If the company has an annual increase in revenue, it will bring to the business a source of revenue to pay expenses related to the operation of the business such as staff costs, loan interest, other administrative expenses...
Hypothesis H2: The company's annual revenue growth has a negative (-) effect on the ability to have limited access to bank credit
– Growth in fixed assets and limited access to bank credit
Investing in increasing fixed assets to increase annual productivity is a natural thing that every business does when expanding its production scale. This shows the growth potential of the business. On the other hand, fixed assets can be an auxiliary source of debt repayment, helping the bank to reduce the risk of loss once the company is no longer able to repay the bank debt.
Hypothesis H3: A firm's annual fixed asset growth has a negative (-) effect on the ability to have limited access to bank credit.
– No profit and limited access to bank credit
If the business is not profitable that affects the ability of the business to operate, the risk of bankruptcy increases. Banks will face a high risk of losing capital when lending to these businesses.
Hypothesis H4: Unprofitable firm has a positive (+) effect on restricted access to bank credit
– Company size and limited access to bank credit
Large-scale enterprises with financial strength, assets, technology and management capabilities will easily exploit the advantages of scale to minimize input costs and increase output efficiency. in order to reduce product costs to increase competitiveness, thereby increasing the operational efficiency of enterprises. Therefore, the ability to access bank credit for medium and large enterprises is often higher than that of small enterprises.
Hypothesis H5: Medium-sized firms have a negative (-) effect on limited access to bank credit.
Hypothesis H6: Firm size has a negative (-) effect on limited access to bank credit
– Gender of the company owner is female and limited access to bank credit
The gender of the company owner also affects the bank's credit review.
Hypothesis H7: Female-owned companies have a positive (+) effect on limited access to bank credit