The Czech Business Pikes ranking is compiled on the basis of the existing database Coface Czech, which collects data on all business entities not only from the Czech Republic, but also from the entire middle and eastern Europe. A company can participate in this evaluation if it offers economic results from past three years to the organizers.
In the Czech Business Pikes ranking are classified those companies, which had the turnover in the last year higher than 10 million EUR and which fulfilled two basic qualification criteria: had at least one positive profit in the evaluated three-year period and showed the ability to fulfil its obligations. The decisive factor for the placement itself is the CIC Index 1000, which is calculated on the basis of five financial criteria:
- increase in turnover,
- ROE (ratio of economic growth after tax to equity),
- ROA (ratio of profit after tax to total assets),
- normal liquidity,
- debt ratios.
The whole project is unique – when the entry criteria are acomplished, the size of the company does not play a role in further evaluation. That means that even smaller and less known companies can take place on the top. Moreover, the rating is not influenced by any individual choice, it is based only on objective economic indicators.