The concept of Going Concern includes:
- A current active base of regular or occasional customers; a mailing list or customer record file would be a good way to estimate this customer base.
- Employees who know the business and who have developed strong business relationships with customers and vendors.
- Equipment, supplies, furniture and fixtures that are in good condition and are still being depreciated.
- Verifiable profits over several years, as evidenced by income tax records; positive cash flow (an ability to pay business expenses), and an ability to pay off the long-term debts of the business on a regular basis.
