Directions of financial risk management in ensuring the financial stability of commercial enterprises

Ensuring financial stability as a category opposed to the bankruptcy of commercial enterprises is an important area of financial management. Shocks and risks from a sanctions-based economy have caused problems related to the decline and loss of financial stability, requiring the development of financial management approaches to mitigate risks. The goal is to develop approaches to ensure the financial stability of commercial enterprises based on the representation of its three-component content: financial stability, financial flexibility, and internal reserves. Objectives of the research are : to formulate the content of the three-component financial stability of commercial enterprises; to present indicators for diagnosing the components that constitute financial stability; to perform a diagnosis of financial stability, financial flexibility, and the presence of internal reserves ensuring financial stability in small and medium-sized enterprises involved in the production of mineral fertilizers and nitrogen compounds in the Volga Federal District. The subject of the research is the constituent components of financial stability, risks from a sanctions-based economy that affect them, and the directions of financial risk management applied to mitigate risks. The methods used in this research are general scientific methods: analysis, synthesis, deduction, induction, and classification. Additionally, analytical methods were employed to carry out diagnostic procedures assessing financial stability, financial flexibility, and internal financial reserves. The scientific novelty of the research lies in revealing the content of the components of financial stability and justifying the directions of financial risk management to ensure the financial stability of commercial enterprises. Research results: the content of financial stability is presented as a determinant of the effectiveness of current activities, investment attractiveness, and solvency of commercial enterprises, as well as an author's definition of financial stability is formulated. The content of financial stability is revealed as a unity of three components: financial stability, financial adaptability, and internal financial reserves of commercial enterprises. Problems and directions of financial risk management to ensure the indicated components of financial stability under sanctions-based economic conditions are formulated. Indicators for diagnosing financial stability, financial flexibility, and metrics that characterize the presence of internal reserves ensuring financial stability are outlined, and a diagnostic assessment of these components of financial stability has been conducted based on materials from small and medium-sized enterprises involved in the production of mineral fertilizers and nitrogen compounds in the Volga Federal District.

Financial stability, financial stability, financial flexibility, financial reserves, sanctions economy, financial risks, risk management, accounts payable, investment potential, investment attractiveness