Calculate the risk of corporate insolvency
This page is dedicated to the issue of assessing the risk of company insolvency with the use of synthetic methods.
Corporate insolvency prediction
Enter annual data and check the financial position of the company.
About the project
Corporate insolvency prediction is a major challenge of contemporary research in the field of economics and finance. Models for insolvency prediction are of immense importance for economists who have to continuously predict the financial position of companies. Frequently, such models allow indicating simply and quickly early warning signs of the potential risk of insolvency.
The global risk of corporate insolvency
This issue is highly relevant from the perspective of business practice. The global financial crisis of 2008 and the current coronavirus pandemic, which has dramatically increased the risk of insolvency of companies around the world, have proven that even the leading multinational companies should continually monitor not only their own financial position but also that of the companies they cooperate with. The process of globalisation has resulted in a complex network of interdependencies in the corporate environment. In the conditions of the market economy, this means increased complexity and uncertainty of the phenomena which affect the financial and economic condition of business entities. No company, even in the period of “prosperity”, can be confident about its future.
Ph.D., D. Sc., Eng. Tomasz Korol, Gdańsk Tech professor
Ph.D., D. Sc. Błażej Prusak, Gdańsk Tech professor
The use of corporate insolvency risk prediction
Models for predicting corporate insolvency risk often allow to indicate early warning signs of the potential risk of insolvency simply and quickly:
in the context of early warning signs of the deterioration of a company’s financial position
from the perspective of assessing the solvency of business partners
from the perspective of credit risk assessment by financial institutions
in the context of implementing financial and economic plans within the company