An entrepreneurial activity is a process which is orientated over a long period of time but under the influence of various circumstances a specific subject may experience failure and with the expansion of the time period the possibility of an encounter with such failure is increasing. The most popular form of commercial activity in Latvia among its subjects is a limited liability company (Ltd). Statistical data on the registration and liquidation of a specific form of commercial activity for the last 18 years reveal the issue of viability and sustainability of the enterprises. For December 2009 25% of the enterprises registered in 2002 as limited liability companies did not survive 7 years. More than 70% of the companies registered earlier (in 1992 and 1993) were liquidated. Nowadays success and development of commercial organizations in a competitive environment depend on the ability of an enterprise to maintain and increase the level of its financial viability. Many analysts foresee a boom in insolvency this year due to the problems in the financial market. This year the level of bankruptcy in Europe is expected to grow by 16.7% and affect 197.000 enterprises. In order to function successfully and for a long time in the market, enterprises need to constantly control their financial condition. Controlling the financial viability is one of a company’s crisis management tools the implementation of which is becoming an integral part of any business management. The previous authors’ investigations show that actual contribution of financial viability to provision of sustainable development of the Latvian enterprises in the service industry in Riga region according to the golden section rule is 32%, what is more then contribution of others elements of sustainability. The findings encouraged the authors to make the factor analysis of financial viability of companies. The Latvian medium and small size limited liability companies of Riga region which function in the service industry were chosen as the object of the research. The enterprises were selected on the basis of the largest business activity in the given region of Latvia (67%) and their contribution to the gross domestic product (42%). Having carried out a comparative analysis of the existing opinions of the experts regarding the concept “financial viability” and indicators for its evaluation, the authors came to the conclusion that the methodology of evaluating the financial viability of enterprises in the non-financial sector suggested by the International Monetary Fund (IMF) mainly includes the indicators most frequently mentioned in the sources analyzed and which companies could implement as a turnaround management tool. The authors of the article analyzed the impact of factors on level of the indicators of financial viability suggest by IMF. The applied research methodology is factor analysis based on chain substitutions method and method of absolute differences. The aim of research is to make the factor analysis of financial viability of Latvian companies of Riga region service industry in the dynamic to find out the level of impact and interrelationship between different elements of financial viability and to classify them modeling the corporate financial sustainability to enable commercial organizations to make the process of decision making optimal, to achieve financial sustainability and to redefine the development strategy of their activity. The result of research shows that the profitability of sales should be optimized to make the level of financial viability of Latvian companies sufficient. The main conclusion of the paper is that the most significant factors of profitability of sales are the price and production costs. The companies can optimize the level of financial viability by the minimizing the production costs .