FINANCIAL RECOVERY OF THE ENTERPRISE AS A WAY FOR PREVENTION OF ITS BANKRUPTCYTHE

Abstract

The article investigated the concept of "financial recovery" of the enterprise and substantiates the main sanation measures in order to prevent its bankruptcy. It is noted that the actual issues of the financial crisis of the company are its insolvency and financial instability. To stabilize and further develop such enterprises, it is necessary to justify a mechanism for identifying and overcoming the causes of crisis phenomena. It is determined that the main task of financial management is to ensure the financial equilibrium of an enterprise in a changing economic environment. Investigated as a stage of the life cycle of enterprises affects the strategy of financial rehabilitation. The complex of remedial measures of short-term and long-term nature is substantiated and specified. It is proved that the successful implementation of operational financial rehabilitation measures should be the basis for strategic sanitation measures, which are the basis of the long-term concept of financial rehabilitation. The emphasis is placed on the need to implement a strategic approach to crisis management. The basic stages of development and implementation of financial rehabilitation measures for elimination of insolvency of the enterprise are determined. It is noted that the process of forming measures aimed at financial rehabilitation can take place in the following stages: introduction of priority measures to eliminate insolvency of the enterprise, implementation of stabilization measures aimed at restoring financial stability, development of investment measures. It is argued that financial rehabilitation is complex and includes measures of financial-economic, production-technical, organizational, legal and social direction. The above approaches can be used in further exploration of the mechanism of prevention of bankruptcy of enterprises.