FINANCIAL SANITATION AS A WAY OF PREVENTION BANKRUPTCY OF ENTERPRISES

Abstract

The article considers the dynamics of the number of enterprises by their size and shows the net profit (loss) from their activities. It is established that a significant number of enterprises of different sizes suffer losses every year. To avoid this trend, companies should use timely remedial measures that can bring the company out of unsatisfactory financial condition, improve its solvency and profitability. The interpretation of the concept of "sanitation" by domestic and foreign scientists is considered, which should be interpreted as a set of consistent, interconnected measures of financial, economic, production, technical, organizational and social nature, aimed at removing the business entity from the crisis in a long-term competitiveness. It is established that depending on the nature of anti-crisis measures, the company can use in its activities defensive and offensive tactics. Defensive tactics are focused on a large-scale anti-crisis process and aims to gain more time for sanitation measures to stabilize the financial condition of the enterprise, while offensive tactics involve active strategic action. The characteristics of external and internal sanitation are given. It is established that the main types of external sanitation are: sanitation of the enterprise aimed at debt reorganization, sanitation of the enterprise aimed at reorganization of the enterprise and sanitation of the enterprise through its sale as an integral property complex. The main sources of cash receipts during the recovery of the company's debt solvency are considered. Measures aimed at restoring current solvency are aimed at creating or restoring mechanisms for generating cash in amounts sufficient to settle with creditors and finance current expenses. Taking into account the factor of financial security, as a result of research it is established that there are the following forms of sanitation: sanitation based on the use of funds and resources of the enterprise, sanitation at the expense of business owners and sanitation at the expense of creditors. It is established that timely overcoming of losses will prevent bankruptcy of enterprises and determine the best ways to increase its solvency and strengthen financial stability.