At the end of September, Shenzhen Barco Light Technology Co., Ltd. was mortgaged by the corporate legal person due to poor management. This is after the Shenzhen Yiguang and August Shifang Optoelectronics collapsed in July, another old LED display manufacturer suffered an industry reshuffle. This news came out one after another, and it was unfortunate that it was not able to survive 2013.
Now, at the end of 2013, many LED companies are quietly lucky: this year finally came over and there was no danger. However, some companies that are in the bankruptcy torrent are not so lucky. In recent years, according to statistics, the number of LED companies that have closed down has exceeded 10%. Among them, Yu Duoli, Vision Optoelectronics, Bolent, Haobo Optoelectronics, Shenzhen Yiguang, Shifang Optoelectronics, Guzhen Xiongji, etc. are the focus of attention, which is medium or upper-scale. In fact, there are more unseen small businesses that have fallen, but they have not attracted attention. Every time one falls, everyone mourns or vigils, all kinds of signs force companies to step on the brakes, need to do a summary of the past market and the company's existing ills. Taking history as a mirror, we can know that it is a happy one. From the detours that the predecessors have walked through, we will give permission to get some inspiration.
The early entry barriers of the LED industry are extremely low, and hundreds of thousands of them can be opened. As long as the product quality is not too bad, it can be transformed into millions in a year. It is no exaggeration to say that LEDs have made a large number of local tyrants. But with such a local management law, the problem will eventually lead to extreme deterioration.
Representatives of Wuxi Optoelectronics: Haobo Optoelectronics, Juduo Lida, Leap Forward Management, exhausted enterprise vitality Shenzhen Haobo Photoelectric Co., Ltd. was established in 2008, more than 15,000 square meters of industrial plants, has won Shenzhen famous brands, integrity demonstration enterprises, famous Chinese brands And other major awards. However, in November 2012, the company closed down due to the capital chain problem in the form of a fully loaded order. Shenzhen Yuduoli Industrial Group, which was established earlier than Haobo, has four production bases in the country before the bankruptcy. There are more than 100 high-end LED optoelectronic products produced by the Dutch ASM company. The fully automated LED dot matrix, SMDLE and LED A number of production lines such as automatic screen display.
The LED industry has expanded rapidly since 2008, and many people are doubling the price of this express train in dozens of times in just a few years. Early LED entry thresholds were extremely low, and hundreds of thousands of them could be opened. As long as the product quality is not too bad, it will turn into millions in a year. It is no exaggeration to say that LEDs have made a large number of local tyrants. Local tyrants, originally referring to the bad guys who were arrogant in the old social towns, were later introduced into the virtual world by netizens, referring to some players who are willing to spend a lot of money on online games. Simply speaking, they are very rich, and the most obvious sign of local tyrants is riches. No squandering, flashy.
Take Haobo as an example. In 2008, its registered capital was 2 million, and in 2011, the turnover was about 200 million. The sales target set in 2012 was 500 million yuan. Along with this, enterprises not only invest a lot in new product research and development, but also expand from display to lighting in business, and save millions of dollars, including corporate image packaging and personnel training.
If the industry profits remain at a high level of 30-40 in the past few years, it may not be a problem for Haobo to achieve rapid expansion. In recent years, the industry situation has turned sharply. It is said that in the field of LED display, enterprises must maintain a gross profit of more than 20 in order to obtain profit. In 2011, the industry's net profit averaged around 25, but the gross profit in 2012 was only about 15%. The profit has been negatively increasing. Obviously, even if the order is full, it is not enough to support the company's Great Leap Forward. And corporate managers are as profligate as local tyrants, and companies can only be overwhelmed.
Before the bankruptcy, in order to fill the supplier's arrears, Haobo Optoelectronics began to borrow the deposit paid by the customer in advance. However, due to the serious charge to the supplier, the supplier began to stop supplying. Some customers paid the deposit but did not receive the product. Therefore, Haobo entered a vicious circle. Similarly, the company was not well-managed, and the salary of more than 200 employees was about 610,000 yuan. It also owed a bank more than 20 million yuan in loans, and was surrounded by more than 30 employees and suppliers. It can be said that behind every LED enterprise that goes bankrupt, there is a debt mountain that cannot be crossed, and it is obvious that it is not a cold day.
It is worth mentioning that the ten-party optoelectronics that went bankrupt in August this year, in June this year, two months before the bankruptcy, cooperated with Lanke Electronics to develop a triad that was named Lanjixing 5353. Fang Optoelectronics has placed great hopes on this product, claiming that Sanhe will always replace the traditional 346 lights and indoor surface stickers. Shifang Optoelectronics is even more committed to the three months after the release of the new product will not take advantage of the benefits, zero profit to open up the market, open the market in three months, in the eyes of many people, this kind of aggressive form is the main cause of its bankruptcy. the reason.
The registered capital is only three or four million, and the debt ratio is as high as one or two million. This is the performance of excessive use of financial leverage. This seems ridiculous, but it reflects the triangular debt problem of the enterprise. Such problems are also common in other LED companies.
Excessive use of financial leverage: Shenzhen Yiguang, Leixing Optoelectronics capital chain collapse caused the company to fall into the triangle debt. In the past 2008 to 2012, the LED display industry has developed rapidly. Many companies use financial leverage to pursue market share. The company itself is not large enough to support such a big business, but many companies are risking to do so in the face of interest. At this time, the company is facing debt problems.
The debt problem is mainly reflected in two aspects: one is the money owed to the bank, and the other is the money owed to the supplier. This problem cannot be seen when the industry is developing at a high speed, but when the industry slows down or gradually becomes a level, the debt problem will become a gunpowder barrel. If it is slightly swaying, it will explode. When the employees of Shenzhen Yiguang Technology Co., Ltd. were asking for their own salary, the representative of the business owner said that others still owe the company's money, and the employees can go to the customers who owe the company money. Wang Peng, general manager of Baishi Optoelectronics Sales, said: The registered capital is only three or four million, and the debt ratio is as high as one or two million. This is the performance of excessive use of financial leverage. This seems ridiculous, but it reflects the triangular debt problems of some companies, which are also common in other LED companies.
Before the market was booming, many companies tried to expand their production scale, even if they did not have sufficient funds to pay the supplier's money. At the same time, in order to win more customers to relax their sales methods, extend the customer's payment time. This is a big problem for yourself or for the industry. When some suppliers can't sit still, they will run against the company. The company can't collect the money owed by the customer, but it can't afford the supplier's arrears. This is easy to break the capital chain, and the LED company is usually established. It is not very long, and the company does not have sufficient savings in the capital. When the debt reaches the critical point, the capital chain collapses.
Unlike the previous collapse of the billion-dollar LED business, Lei Xing Optoelectronics does not have the problem of the boss running. Mr. Zhou, who once worked for Lei Xing Optoelectronics, said that Lei Xing Optoelectronics is not well managed and is insolvent. He said that it is difficult to know how much the company owes the supplier, and the workshop equipment has been given to the supplier. According to a middle-level person who worked at Lei Xing Optoelectronics, in January of this year, the company experienced capital flow problems. It is understood that Lei Xing Optoelectronics was funded by three shareholders. Before the dissolution, the largest shareholder has withdrawn.
Due to the relatively low barriers to entry in the industry and the previous policy preferences, many people have entered the industry. However, many small and micro LED companies are currently difficult to operate. A related person in the LED industry said that small and micro LED companies, especially micro-enterprises, are struggling. In the future, the trend of polarization in the LED industry is becoming more and more obvious. In the process of shuffling, the days of SMEs are getting more and more difficult. The integration period of the industry will last for a long time, and will increase in the next three years. Small companies will basically be eliminated.
When customers buy products, companies go to purchase raw materials and do the deposits. After the products are sent out, when there are quality problems, the customers will find trouble, and some of the debts will not be recovered. If a customer owes 200,000, 10 is 200. Ten thousand, the more you roll. Adding internal management fees, rent costs, business staff commissions and other expenses, it is very scary.
Deep in the price war class representatives: Guzhen Xiongji, Shifang Optoelectronics, no bottom line, neglecting the quality of the end of the enterprise life in July 2013, the LED industry's Xiongji lighting scale exceeded 100 million. There are no profits in the order, no income, no funds, no strength, no fighting power. This is a common problem for most LED companies.
But beyond that, the reason why Xiong Kee collapses is more important because it has no bottom line to make low-end products. According to insiders, Xiong Ji experienced three periods of crisis: in early 2012, there were problems with a batch of 100,000 drive powers, but there was no injury; in mid-2012, due to poor product quality, problems occurred. 4 customers have no longer cooperated, and owed 5 million yuan of goods. Fortunately, the sales task was completed at the end of 2012, and Xiong Ji was maintained. In March 2013, the sales volume was also very good, but the problem in April began to become more prominent, and the phenomenon of customer returns continued to appear.
Although Xiongji’s sales price is very low, the procurement cost is not low, and the process and drive power supply are not mature enough, resulting in a large number of returns. The price is so low, the return rate is so high, how can we keep profitable? In the long-term non-profit situation, we still need to have more than 300 employees. How long can the company last? Moreover, there is a problem with the return system of Xiongji, and the customer can return it at will, and sometimes it is necessary to pay back the goods. According to informed sources, one time lost hundreds of thousands to a Vietnamese customer, the reason is that the goods are all broken, others can't ask for compensation.
Although the price is very low, it is not sold at a loss. However, because the quality of the product is not enough, it causes a lot of returns, waste, and labor costs. The more the products are sold, the more the losses are. The customer can't get the money, but also pays the money, which leads to the failure of the capital of the company. Then the supplier's payment can only be slowed down, and the east wall is removed.
The same situation also exists in Shenzhen Shifang Optoelectronics Co., Ltd. According to its official website, it has more than 10,000 square meters of factory buildings and more than 500 employees. In Xianning, Hubei Province, its own land of 10,000 square meters, has built a high standard industrial plant of 15,000 square meters, in Fuyong Baishi Xia Xintang Industrial Zone has nearly 5,000 square meters of industrial plants. It seems that the strength is not to be underestimated.
According to a person familiar with the LED display manufacturer in Shenzhen, the price of the products of Shifang Optoelectronics is very low. Their products are mainly in the low-end market. The raw materials are used badly, the quality cannot be maintained, and they can only become more and more chaotic. The insider further explained that, for example, the display product, the same model, the price can be three or four times different, low-priced products can not be done in our company, and can be done in Shifang Optoelectronics. They are taking the low-end route, but now the LED industry is generally so expensive. When someone buys your product, you go back and purchase the raw materials, and then the customer gives you a deposit. After the product is sent out, when there is a product quality problem, the customer will find trouble, and some of the debts will not be recovered. If a customer owes 200,000 and 10 is 2 million, it will get bigger and bigger. Adding internal management fees, rent costs, business staff commissions and other expenses, it is very scary. He believes that these are the direct causes of the dilemma of Shifang Optoelectronics.
In-depth analysis of the LED assembly era or at the end of the day, some people say that the LED threshold is low, the couple and two or two employees, a few screwdrivers can set up a small workshop for production. However, it is easy to do it, and it is difficult to do it. In the era of LEDs that are so competitive, doing it may mean that it will be eliminated. Guzhen Xiongji Lighting is one of the clear representatives.
Xiongji Lighting is a typical assembled LED enterprise. There are no core technologies such as chips and packages. Even there are no patents on the design. The accessories needed for the whole lamp production are purchased out. The company just pushes it after simple assembly. market.
In the assembly process, the company does not pay attention to the product process, and the products made are rough and rough. The phenomenon of lack of screws and fewer accessories sometimes occurs; if the product is not properly matched, the 31w ceiling lamp heat sink is not enough, and the driving power supply does not adopt constant current. Drive, increase the light efficiency through high pressure, the product has not undergone any inspection before leaving the factory.
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