fizetképességgel

Fizetképesség, a Hungarian term, translates to solvency or the ability to pay debts. It refers to an individual's or entity's financial capacity to meet their financial obligations when they become due. This encompasses a wide range of liabilities, including short-term debts like accounts payable and long-term obligations such as loans and mortgages.

Assessing fizetképesség is crucial for lenders, creditors, and investors to gauge the risk associated with extending credit or investing. A strong fizetképesség indicates a stable financial position, suggesting that the debtor is unlikely to default on their payments. Conversely, poor fizetképesség can signal financial distress, potentially leading to bankruptcy or insolvency.

Key indicators used to evaluate fizetképesség include liquidity ratios, profitability ratios, and solvency ratios. For individuals, factors like income stability, savings, and existing debt levels are considered. For businesses, financial statements, cash flow analysis, and credit ratings provide insights into their ability to meet financial commitments. Maintaining adequate cash reserves, managing expenses effectively, and generating consistent revenue are all vital for ensuring strong fizetképesség. In essence, it is a fundamental measure of financial health and reliability.