Improving the Methodology for Analyzing Organizational Creditworthiness Based on the Time Factor

Borrowed funds attracted by the company play an essential role in ensuring its effective functioning. However, excessive debt can significantly reduce its financial stability. Therefore, the company should have information about the degree of creditworthiness and liquidity of the balance sheet. The purpose of the research is to substantiate recommendations for improving the current methodology of credit analysis and to find measures for improving the financial stability and creditworthiness of the organization. During the study, analytical, comparative, descriptive, theoretical, and prognostic methods were used. Specific problems of the current analysis methodology were identified. The retrospective nature of the methods and models of analysis is one of the keys since a more accurate assessment of the creditworthiness of an economic entity involves the prediction of its financial condition, which becomes especially crucial for long-term lending, since, over time, the level of creditworthiness can change. Particular attention is paid to calculating forecast indicators of the borrower’s creditworthiness in investment lending, which is characterized by a long-term circulation period. This technique will increase the accuracy of the analysis and assessment of the creditworthiness of an organization and can be used by commercial banks.