Concentration of borrowed capital. Optimal balance structure.

Every large enterprise strives to optimize the structure of its capital. It is formed from own and borrowed sources. And their ratio should be maintained at a set level. The analytics allows to define the need of the company in this or that source of financing its activity.

. One of the components of the financial stability methodology of the organization is the borrowing capital concentration ratio . It is calculated according to the established formula and has a clearly stipulated value. How to calculate the presented indicator, and also to interpret the result? There is a certain technique.

The essence of the coefficient

объем платных финансовых источников в структуре баланса. The coefficient of borrowed capital concentration shows the volume of paid financial sources in the balance structure. Each enterprise should organize its activities by using its own capital. However, attracting loan capital opens new prospects for the organization.

A company that intelligently uses paid sources of funds can purchase new high-tech equipment, introduce a new production line, expand sales markets, etc. To do this, the level of borrowed funds must remain within certain limits. It is set for each enterprise separately.

Attracting long-term and short-term loans increases the company's risks. However, the higher they are, the larger the net profit the organization can potentially get. The state of the share of paid liabilities must be monitored by the analytical service of the enterprise.

The essence of borrowed funds

The value of the borrowing capital concentration ratio in calculating financial stability is extremely high. Such sources of financing have a number of characteristic features. Their attraction carries both benefits and additional costs.

The company, which attracts funds from outside investors, opens up new prospects and opportunities for itself. Its financial potential is growing rapidly. At the same time, the cost of the submitted sources remains quite acceptable. With the competent use of additional funds, you can improve the profitability of the company. In this case, the profit grows.

However, attracting investment sources from outside has a number of negative characteristics. Such capital increases risks, reduces the indicators of financial stability. To issue a similar procedure is quite difficult. The costs largely depend on the level of development of a specific market. The income of the organization will be reduced by the cost of using the funds of investors (interest on the loan).

Methodology for determining the indicator

The balance sheet data will help you calculate the debt capital concentration ratio. для расчетов простая. The formula for calculations is simple. It reflects the ratio between the index of external loans and the currency of the balance sheet. This is the actual debt burden that is put on the organization. The calculation formula is as follows:

КК = З / Б, where: З - the sum of loans (short-term and long-term), Б - balance currency.

Settlements are made based on the results of the operational period. Most often it is 1 year. However, for some companies it is more profitable to make calculations quarterly or semi-annually.

Paid sources of financing are presented in lines 1400 and 1500 of Form 1 of financial statements. The total balance is indicated in line 1700. This is a simple calculation, the result of which will help to draw conclusions about the harmony of the organization of the capital structure.

The standard

According to the above system, it is possible to calculate the concentration coefficient of borrowed capital. The normative value will allow us to analyze the result obtained. For the indicator presented, there is a certain range of values at which the balance structure can be called effective.

The coefficient of concentration of external sources of financing can be in the range from 0.4 to 0.6. The optimal value depends on the type of activity of the company, the features within the industry. For example, enterprises with a pronounced seasonal activity may have low levels of credit concentration.

To draw a conclusion about the correctness of the structure of financial sources, it is necessary to study the presented indicator of firms-competitors. So you can calculate the intra-industry indicator. With him, and compared to the value obtained in the course of the study coefficient.

Financial benefit

In some cases, the amount of credit the organization can be too large or, conversely, low. This indicates an incorrect organizational structure of the balance sheet. The above norm of the borrowing capital concentration coefficient is applicable for most domestic companies. Foreign organizations may have more loans in the structure of liabilities.

If the company in the course of the study determined that the concentration coefficient is below the norm, then it has accumulated a large number of borrowed financial sources. This is a negative factor for further development. In this case, the risks of non-return of debt increase. The cost of the loan will increase. It is necessary to reduce the amount of borrowed funds in liabilities.

If the indicator, on the contrary, is above the norm, the company does not attract additional resources for its development. It turns into a lost profit. Therefore, a certain amount of funds of third-party investors must be used by the company.

Example calculation

To understand the essence of the presented methodology, it is necessary to consider an example of calculating the concentration coefficient of borrowed capital. которая была приведена выше, применяется в ходе исследования. The formula for the balance, which was given above, is applied in the course of the study.

For example, the company completed the operating period with a total balance sheet total of 343 million rubles. In its structure was determined 56 million rubles. Long-term liabilities and 103 million rubles. Short-term debts. In the previous period, the balance sheet total amounted to 321 million rubles. Short-term liabilities were 98 million rubles., Long-term sources of financing - 58 million rubles.

In the current period, the concentration ratio was as follows:

KKT = (56 + 103) / 343 = 0.464.

In the previous period, the same indicator was at the level:

KKp = (98 + 58) / 321 = 0.486.

The result is within the established norm. In the previous period, the company's activity was largely financed from outside sources. The company has prospects for attracting loans. The presented indicator should be calculated in conjunction with other settlement systems.

Financial leverage

от условий окружения бизнеса. The leverage indicator allows analysts to properly assess the dependence of the borrowing capital concentration on the business environment. The combination of these two methods of calculation makes it possible to establish the level of efficiency of the use of available capital, the possibilities for further increasing it at the expense of credit sources.

Leverage shows the benefits that the organization receives when using borrowed funds. For this purpose, the profitability index of the organization's own capital is calculated. In the course of such a study, the company's need is identified for attracting external sources of financing, as well as the current profitability of the total capital.

With proper use of loans, you can increase the net profit. The received means invest in development, expansion of business. This allows you to increase the final net profit. This is the meaning of the application of paid means of investors.

Profitability

необходимо рассматривать в общей системе аналитического расчета. The coefficient of concentration of borrowed capital must be considered in the general system of analytical calculation. Therefore, together with the presented methodology, other indicators are determined. Their combined analysis allows us to draw the right conclusions about the structure of capital.

One of these indicators is the profitability of borrowed capital. For calculation, the net profit for the current period (line 2400 of Form 2) is taken. It is divided into the amount of long-term and short-term loans. If the net profit is higher than the amount of paid sources, the company harmoniously uses in its activities the funds received from outside investors.

The profitability of borrowed capital is investigated in dynamics. This allows us to draw conclusions about further actions.

Structure management

становится первым показателем в разработке финансовой стратегии организации. The concentration ratio of borrowed capital becomes the first indicator in the development of the organization's financial strategy. Based on the calculations, the company's management can decide on further borrowing and loans.

During the planning process, the need for additional sources is determined. Risk assessment, future profit, as well as ways of production development are assessed. The cost of investors' capital is determined. Based on the research, the company decides on the possibility of additional borrowing capital.

методику его расчета и подход к трактовке результата, можно правильно оценить структуру баланса и принять решение о дальнейшем развитии организации. Having considered what the borrowing capital concentration factor is, what is the method of its calculation and the approach to the interpretation of the result, it is possible to correctly assess the balance structure and decide on the further development of the organization.