MODALITIES OF DETERMINING THE CAPACITY OF SELF-FINANCING OF THE COMPANY

The capacity of self-financing reflects the financial potential derived from the profitable activity of the enterprise destined to remunerate the own capitals and to finance the investments of future expansion, maintenance and renewal. It is an indicator of large economic expansion, reflecting the financial force of an enterprise, the guarantee of its security and independence. Thus, the main role of the capacity of self-financing is to allow the enterprise to maintain and develop its technical-productive potential, to remunerate the shareholders and to ensure the loans reimbursement.