Classification of financial crises in a company
Posted: Mon Jan 27, 2025 8:53 am
There are several sources of generating a financial crisis:
Internal factors . For example, ineffective financial management, errors in choosing financial policies in some types of financial activities, incorrect perception of a number of risks, overstated average weighted cost of capital, etc. Usually, such a financial crisis is dealt with using the internal resources of the enterprise.
External factors . For example, the tax system was tightened, the financial market changed for the worse, and other similar situations affected the financial activities of the enterprise.
Internal and external factors at the guatemala email list same time . This is the most difficult situation, usually lasts for a long time, and is very difficult to resolve.
The scale of the financial crisis can cover two options:
Structural . It occurs as a result of a long and gradual increase in the difference in the proportions of financial potential parameters that do not correspond to the new conditions of financial activity and security. Another name is local.
Systemic . Includes all types and directions of the enterprise's financial activity, demonstrates their contradictions.
Classification of financial crises in a company
The structural crisis, in turn, is caused by the following factors:
Poorly organized capital structure . The company uses too much borrowed funds, which makes it financially unstable. It has to use resources from external sources, usually with worse conditions. As a result, its own cash flow is very limited in possibilities.
Poor asset structure . In this case, the share of non-current assets is too high, which slows down the turnover of advanced capital. A large number of illiquid assets included in current assets.
Cash flow imbalance . Positive and negative cash flows are unbalanced and unsynchronized in formation. As a result, the solvency of the enterprise decreases.
Non-optimal investment structure . Occurs if the enterprise has a large number of investment projects with high volumes and long payback periods or projects involving debt financing.
Other non-optimal structures of financial activities , for example, the specifics of accounts receivable, types of costs in relation to fixed and variable items, etc.
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Alexander Kuleshov
Alexander Kuleshov
General Director of Sales Generator LLC
Read more posts on my personal blog:
Over the past 7 years, we have conducted over 23,000 comprehensive website audits and I have learned that all of us as leaders need clear and working algorithms for our marketing and sales.
Today we will share with you 6 of the most valuable documents that we have developed for our clients.
Download for free and implement today:
Step-by-step guide to creating marketing KPIs
Template for calculating KPIs for a marketer
9 Examples of Universal Selling Commercial Proposals
Upgrade your CPs to close more deals
How to make KPI for the sales department so that profits grow by 20% or more?
Step-by-step template for calculating KPIs for OP managers
Checklist of 12 main indicators for website promotion
Find out what metrics are needed to properly optimize your website
40 Services for Working with Blog Content
We have collected the best services for working with content
How to define your target audience without mistakes?
A proven guide to defining a company's target audience
Download the collection for free
pdf 8.3 mb
doc 3.4 mb
Already downloaded
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Internal factors . For example, ineffective financial management, errors in choosing financial policies in some types of financial activities, incorrect perception of a number of risks, overstated average weighted cost of capital, etc. Usually, such a financial crisis is dealt with using the internal resources of the enterprise.
External factors . For example, the tax system was tightened, the financial market changed for the worse, and other similar situations affected the financial activities of the enterprise.
Internal and external factors at the guatemala email list same time . This is the most difficult situation, usually lasts for a long time, and is very difficult to resolve.
The scale of the financial crisis can cover two options:
Structural . It occurs as a result of a long and gradual increase in the difference in the proportions of financial potential parameters that do not correspond to the new conditions of financial activity and security. Another name is local.
Systemic . Includes all types and directions of the enterprise's financial activity, demonstrates their contradictions.
Classification of financial crises in a company
The structural crisis, in turn, is caused by the following factors:
Poorly organized capital structure . The company uses too much borrowed funds, which makes it financially unstable. It has to use resources from external sources, usually with worse conditions. As a result, its own cash flow is very limited in possibilities.
Poor asset structure . In this case, the share of non-current assets is too high, which slows down the turnover of advanced capital. A large number of illiquid assets included in current assets.
Cash flow imbalance . Positive and negative cash flows are unbalanced and unsynchronized in formation. As a result, the solvency of the enterprise decreases.
Non-optimal investment structure . Occurs if the enterprise has a large number of investment projects with high volumes and long payback periods or projects involving debt financing.
Other non-optimal structures of financial activities , for example, the specifics of accounts receivable, types of costs in relation to fixed and variable items, etc.
Download a free selection of tools for calculating KPIs and increasing marketing metrics
Alexander Kuleshov
Alexander Kuleshov
General Director of Sales Generator LLC
Read more posts on my personal blog:
Over the past 7 years, we have conducted over 23,000 comprehensive website audits and I have learned that all of us as leaders need clear and working algorithms for our marketing and sales.
Today we will share with you 6 of the most valuable documents that we have developed for our clients.
Download for free and implement today:
Step-by-step guide to creating marketing KPIs
Template for calculating KPIs for a marketer
9 Examples of Universal Selling Commercial Proposals
Upgrade your CPs to close more deals
How to make KPI for the sales department so that profits grow by 20% or more?
Step-by-step template for calculating KPIs for OP managers
Checklist of 12 main indicators for website promotion
Find out what metrics are needed to properly optimize your website
40 Services for Working with Blog Content
We have collected the best services for working with content
How to define your target audience without mistakes?
A proven guide to defining a company's target audience
Download the collection for free
pdf 8.3 mb
doc 3.4 mb
Already downloaded
153389