Financial condition is an indicator system, which reflects the accommodation and usage of financial resources. The analysis of financial condition indicates the important aspects and weak positions of the financial situation of the enterprise. Financial condition analysis can be conducted in different levels of detailing, by goal analysis, existing information, software-based, tech-based and by means of the staff capabilities. It is recommended to separate express and in-depth analysis of financial conditions.

Financial analysis lets you assess:

 Material condition of the company

 Degree of business risk

 Sufficiency of the capital for ongoing and future investment works

 The need for additional financial sources

 Ability to raise capital

 The rationality of using borrowed assets

 Thoroughness of profit sharing and usage

The informational support of the financial situation analysis is mainly based on data provided by accounting.