Comparative Analysis of The Accuracy Level of The Zmijewski, Springate, and Grover Models to Predict Financial Distress

ABSTRACT: Financial Distress is a stage in a company’s financial downturn before bankruptcy orliquidation.The purpose of this study is to learn more about the Zmijewski, Springate, and Grover techniques’ability to accurately forecast financial difficulty in startups listed on the Indonesia Stock Exchange between2019 and 2021.Descriptive quantitative research methodology is employed. Accuracy tests and descriptivestatistical analysis are the analysis techniques used.The study’s findings show that the Springate model, whichhas the highest accuracy rate of 81.81% and type I and type II error values of 18.18% and 0%.While theaccuracy of the Zmijewski and Grover models is the same (69.69%), but the type I and type II error rates aredifferent.

Keywords : Financial Distress; Grover; Springate; Startup; Zmijewski.