going concern
Thriving business entity
A going concern is a business expected to continue operating indefinitely, with no immediate threat of closure or liquidation.
The term matters most in accounting and finance, where it determines how assets are valued: The auditors questioned whether the company was still a going concern.
If a business isn't a going concern, its assets may be worth only what they'd fetch in a forced sale.
Convertibility to cash
- cash flowMoney entering and exiting
- debtMoney owed another
- assetsOwned items of value
- liabilitiesAmounts owed to others
creditworthiness · balance sheet · insolvency · bankruptcy · financial health · working capital · leverage · equity
Formal accounts examination
- financial statementsFormal records of transactions
- disclosureAct of revealing information
- GAAPFinancial reporting conventions
- financial reportingDocumenting business performance formally
accountant · assumption · note · footnote
Remaining alive against odds
- sustainabilityCapacity to endure indefinitely
- feasibilityPotential for success
- prospectsExpected future outcomes
- continuityUninterrupted progression or coherence
stability · profitability · growth potential · business model · revenue generation · market conditions · operational efficiency · long-term planning
Assessing enterprise economic worth
- fair valueReasonable exchange price
- goodwillKindly, generous spirit
- intangible assetsNonmaterial items of value
- market valueCurrent trading price
book value · appraisal · acquisition · sale price · buyer · seller
liquidity
Convertibility to cash
liabilities · creditworthiness · balance sheet · insolvency · bankruptcy · financial health · working capital · leverage · equity · net worth
audit
Formal accounts examination
- financial statementsFormal records of transactions
- disclosureAct of revealing information
- GAAPFinancial reporting conventions
financial reporting · accountant · assumption · note · footnote
survival
Remaining alive against odds
- sustainabilityCapacity to endure indefinitely
- feasibilityPotential for success
- prospectsExpected future outcomes
continuity · stability · profitability · growth potential · business model · revenue generation · market conditions · operational efficiency · long-term planning
business valuation
Assessing enterprise economic worth
- fair valueReasonable exchange price
- goodwillKindly, generous spirit
- intangible assetsNonmaterial items of value
market value · book value · appraisal · acquisition · sale price · buyer · seller
- business termsfranchising, revenue stream, board meeting, gross margin, markdown
- accountingbookkeeping, ledger, balance sheet, general ledger, accounts payable
- business saleacquisition, buyout, merger, stock sale, purchase agreement
- financial healthfinancial health, fiscal health, solvent, insolvent, insolvency
- intangible assetsintangible assets, patent, copyright, trade secret, brand
- auditingauditor, audit trail, audit trails, auditors, audit report