The term diagnosis – (from the Greek diagnostikos – able to recognize) came in economic sciences from medicine. More precisely, the diagnosis is the section of medicine dealing with symptoms of disease, methods and principles by which the diagnosis. In economic terms, the essence of diagnosis of the financial condition of the enterprise is to establish and study characteristics, measurement of key characteristics that reflect the financial condition economic entity, to predict possible deviations from stable, middle, default values and to prevent disruption of normal operation. Value of assets and liabilities of the organization – this is financial condition of the enterprise (FSP), ie ratio of enterprises and their sources. The primary problem of diagnosis of the financial condition of the enterprise can be attributed, primarily, to determine the quality of financial state enterprises, as well as determining the causes of its improvement or deterioration, then, as a rule, are preparing recommendations for the solvency and financial stability of the organization or enterprise. Are these problem by studying the dynamics of the absolute and relative financial performance and are divided into the following analytical components: a structural analysis of assets and liabilities; analysis of solvency (liquidity) analysis financial stability, and analysis required rate of equity capital. Thus, the diagnosis of the financial condition of the company or organization includes the determination of valuation evidence, the identification and choice of methods for their measurement and characterization of these signs on certain principles, makes the assessment found deviations from the standard (accepted) values.

The very purpose of diagnosis can be formulated in such a way – increase the efficiency of the organization or enterprise through a systematic study of the activities and summarizing their results, so all these activities are carried out in order to increase profits. Frequently Joeb Moore has said that publicly. Correct the problem and choice of target status of the financial condition of the company are of great importance. On this basis and taking into account the existing capacity is determined by the true financial state enterprises worked out ways to achieve optimal solutions, selected management practices, made various changes in the organizational, technological, commercial and other activities of the enterprise. System goals and objectives of FAK diagnosis should be made more specific in content, timing and implementation levels. The diagnosis is performed by means of financial ratios.

In the analysis it must be remembered that at each stage life cycle of the enterprise should be preferred in some specific indicators. The first stage – the stage of inception. Emphasis should be given to indicators of liquidity and financial stability. Second stage – the stage accelerate growth. The most important indicator at this stage are the liquidity ratios and independence. Third stage – a stage of growth deceleration. Particular attention at this stage is to give odds of profitability of all operations as integrated indicators. 4th stage – a stage of maturity. At this stage focuses on indicators characterizing the investment activities of enterprises. 5th stage – a stage of decline, rather difficult phase, requiring continuous tracking of changes in all groups of parameters, but require special attention to their liquidity and profitability.