Financial sustainability refers to the ability of an organization or business to maintain its operations and fulfill its mission over the long term without relying on external financial support or depleting its resources. It involves generating sufficient revenue to cover expenses, investing in growth, and managing risks effectively. Financial sustainability ensures that an entity can withstand economic fluctuations, adapt to changing market conditions, and continue providing value to stakeholders. It is closely related to the [[cost structure]] of a [[business model]], as a well-designed cost structure enables efficient resource allocation and cost management, which are crucial for achieving and maintaining financial sustainability. By optimizing [[fixed costs|fixed]] and [[variable costs]], businesses can ensure they remain profitable and resilient in the face of financial challenges.