Abstract

The principle of free competition is applied primarily and generally in the public procurement process. However, the need to look after public funds requires a departure from competition in its strict sense, by limiting contractors to those who meet the conditions for the proper performance of a public contract. Contracting authorities find the examination of economic or financial standing a particularly problematic aspect of verifying contractors. An analysis of notices in the European publication at the end of 2023 shows that, for contracts with a planned performance period between 17 and 42 months, the financial situation of the contractors was not examined in most cases. On the other hand, the two criteria used in those cases where the financial situation was examined were holding a public liability insurance policy or having a minimum level of revenue. The methods used for a preliminary analysis of the financial statements, as well as the indicator analysis, were not applied. To convince readers that assessing the financial situation is not really a mission impossible, the paper shows example elements of the indicator analysis when assessing the contractor’s debt analysis.