Where a company is already embroiled in a financial crisis, one question that needs to be answered is whether the company’s financial commitments allow it to continue operating. Here forecasting provides the answer.
Evaluating a company’s ability to continue operating is not automatically the same as determining insolvency. Indeed, it is possible that your company still possesses a chance of remaining in business despite excessive liabilities.
For this reason it is crucial that the prognosis is conducted and properly scrutinized to ensure that it is as watertight as possible.