Analysis and evaluation of the credit capacity of the borrower-legal entity

In a market economy, the financial and credit system, as the sphere of circulation of monetary resources, securities and foreign currency, is the most important infrastructure element that presents to business entities the variable possibility of profitable investment of temporarily free financial resources. This article clarifies the concept of “creditworthiness”, defines a list of tasks that are solved in the process of analyzing and evaluating the creditworthiness of the legal entity’s borrower/ The purpose of assessing the creditworthiness of a borrower from a legal and financial position is to strive for a bank to reduce its risks of not returning a loan to a borrower by a certain time. To conduct such an analysis, the bank will need information describing the financial condition of the borrower, which necessitates the study of the financial and accounting reports of the company. The article discusses various methods of solving this problem by banks, examines the direction of assessment of the creditworthiness of the borrower, proposes a method for calculating the credit rating of the borrower.