The characteristics of real estate project development include large investment scale, slow cash flow and long development cycle. Cooperative development has led real estate development enterprises to establish a large number of controlling subsidiaries and joint ventures, and put them into the long-term equity investment scope. Among them, the joint venture company's debt financing is not reflected in the company's statements, that is, hidden liabilities. If real estate enterprises want to reduce the debt ratio and beautify the financial statements, they can convert the controlling subsidiary into a joint venture by reducing the number of shares.