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Economic Consultant
Article . 2023 . Peer-reviewed
Data sources: Crossref
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ZENODO
Article . 2023
License: CC BY
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The main factors affecting the financial stability and efficiency of a commercial organization

Authors: Natalia P. Dolotova;

The main factors affecting the financial stability and efficiency of a commercial organization

Abstract

Introduction. The relevance of the research topic is that financial stability is the basis for long-term sustainability and development of the organization. Good economic performance significantly increases confidence in the organization and facilitates access to capital. Companies with high financial stability can effectively face competitors as they can invest in innovation, development of new products, and expansion of business operations. The article analyzes the factors that affect a business organization’s financial stability and efficiency. Materials and Methods. The materials of the present study were articles from periodicals. Comparative, general scientific, and factor analysis were used as research methods in the complex approach to the study of reporting data. Results of the study. Compared to solvency assessed about current assets and long-term liabilities of the organization, financial well-being is determined based on the relationship between different types of monetary sources and compliance with their composition. The ability of the enterprise to make timely payments and finance its activities on an extended basis indicates its stable financial condition. The study of financial stability of organizations offers a broad perspective in conjunction with new technologies, social factors and changing economic conditions, making it critical to the future of business. Conclusion. The system of fundamental indicators characterizing the financial condition of an economic entity includes the following: indicators of liquidity and solvency; indicators of financial stability; indicators of funds turnover; indicators of profitability of the enterprise; indicators of composition and dynamics of financial results; indicators of changes in the sources of equity capital; indicators of analysis and cash flow.

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Keywords

liquidity, profitability, efficiency of commercial organization, financial stability, financial sustainability

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
0
Average
Average
Average
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gold