This report presents the challenges to understanding the financial viability (stability) and evaluation of it, as well as development and practical implementation of methodology of evaluation of financial viability of company, suggested by International Monetary Fund (IMF). Financial viability – is the ability of an entity to continue to achieve its operating objectives and fulfill its mission over the long term. It has drown serious attention from companies that are operating in the condition of world crises. Within the recent context of dynamic changes in business environment the theory and practice of financial management has faced an urgent question of what is the most appropriable method of evaluation of financial stability of company and what theoretical and methodological awareness is necessary seeking to minimize the risk of bankruptcy of company of the 21 century. The main points reviewed in this paper are 1) challenges to understanding the financial viability 2) indicators of financial viability 1) the methodology of evaluation of financial stability suggested by IMF; 2) practical implementation and development of the methodology of IMF; 3) implementation of new principles of analyzing the levels of indicators of financial viability 4) evaluation of financial viability indicators of Latvian companies operating in service sector in Riga region. Authors believe that if managers and auditors pay the necessary attention to the financial viability by suggested indicators and methodology, it may be possible to prevent some of the problems revealed in entrepreneurship, which experience a wave of bankruptcy with enormous economic and social impact, especially in the Latvian country
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