Financial mechanism of small business in modern economic conditions. Mechanisms to support the development of small businesses in Russia

20.09.2019

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Accounting for tangible and intangible exploration assets

allocation of certain “starting” public funds for these purposes - either monetary or other non-monetary, i.e. liquid assets as the fundamental basis for the activities of guarantee funds at the federal or interregional level. Of course, at present it is extremely difficult to obtain additional budget funds or some other state liquid assets that could be used as collateral (collateral fund) when creating large-scale guarantee schemes, but the chances of small businesses here seem more preferable. This is due to the fact that it is its investment projects that provide the fastest return in terms of increasing the tax base of budgets at all levels, increasing the number of jobs, etc.

In this regard, a serious task of state and public institutions for supporting Russian small businesses should now be to “knock out” (in the best sense!) such collateral funds, the implementation of which in the small business support system can in a short time through credit guarantee schemes radically change the whole situation for the better in the business sphere of Russia and in its economy as a whole. At the same time, the state does not replace banking system, but plays a partner, stimulating role in relation to banks, involving them in partnerships to support small businesses.

The main condition for the success of the guarantee system should be the trust of banks in the managers of guarantee funds. Banks must be confident that in the event of enterprise insolvency, the bulk of the funds provided for loans will be returned. This trust can be achieved through several factors that must be taken into account when developing government credit risk guarantee programs:

the procedure for budgetary subsidies to guarantee funds must be established by law;

the guarantee to banks (leasing companies) should be provided directly to a specialized state

by a guarantee organization (guarantee fund) in the form of concluding a guarantee agreement;

full transparency must be ensured for banks

V issues of management of state guarantee funds. They should have the right to receive information about the evolution of the obligations assumed by the funds, about the amount of net guarantee funds after taking into account outstanding debts, about the total volume of loans for which legal proceedings are ongoing.

To solve the last problem, the operation of the guarantee system should include consultations with banks on general directions activities of guarantee funds, namely in such areas as determining the risk acceptance policy, establishing the maximum risk indicator and investment multiplication (the ratio between the maximum amount of liabilities assumed by the guarantee funds and the amount of collateral in the fund), maximum size the guaranteed part of the loan, depending on the characteristics of the guaranteed financing and its recipient - a specific small enterprise.

2. Expanding the practice of providing soft loans by small business support funds

small businesses

The practice of issuing preferential loans using the assets of small business support funds, as well as regional and municipal budgets, in accordance with the federal, regional and municipal programs for supporting small businesses, has a significant impact positive influence on the development of small business - both in terms of expanding the number of small enterprises and their reaching qualitatively higher levels of economic activity. This type of support for small businesses requires the attraction of large funds, is highly risky for organizations providing loans, and therefore, now its use should be limited to the “starting” stages of small business development.

entrepreneurship in general and individual small enterprises and gradually decrease as other forms of support develop, primarily as a system of state guarantees is formed.

Along with credit guarantees, the practice of microcredit small business. The logic of microcredit services is addressed to the various needs of small enterprises, owners of individual and family businesses, who constantly need access to financial resources, but are not able to use the services of banks and other fairly large credit institutions that are not interested in working with small borrowers.

Microcredit (microloan) is the least conservative, but at the same time quite flexible form of a classic bank loan - best tool, allowing you to easily start a business by gaining access to sources of financing without starting capital, credit history and the necessary collateral. Microcredit helps solve at least three important economic and social problems:

increase in the number of entrepreneurs without education legal entity;

growth in tax revenues;

availability of a credit history for the further development of small businesses through the banking sector.

Microcredit programs are most popular in non-banking organizations: state and municipal funds for supporting small businesses, which, in accordance with Federal law No. 88-FZ of June 14, 1995 “On state support for small businesses in Russian Federation» the right is given to provide loans to small businesses without obtaining a banking license, as well as to other specialized organizations. The latter, not having the right to carry out banking operations, take microcredit in the form of loans.

There is another important channel for the sale of resources financial support, widely used in foreign practice. One of the reasons making it difficult for small businesses to access “other” external financial resources is high level interest rates on bank loans. This level of rates is due to a number of reasons, and even with the creation of a system of state guarantees, it may be unaffordable for certain categories of small businesses. For these enterprises this method can be used state support as a subsidy

interest rates on bank loans they receive.

When using this scheme, a small enterprise, having received a loan from a commercial bank on market conditions, has the right to receive compensation for part of the interest rate from a specialized government organization or a small business support fund. This mechanism requires the use of a sufficiently large volume budget funds and should therefore only be used to support a limited range of projects – for example, projects with social impact. At the same time, it is necessary to note the advantage of this type of government support: the risk of loan non-repayment lies with the small business entity and the bank, which contributes to the careful development of projects.

It is obvious that all operations in one way or another connected with the implementation of financial support for small businesses should in one way or another be carried out (mediated) by banks that have a developed branch network and have experience working with the population and with relatively small business organizations. In addition, it seems appropriate to involve banks in the authorized capital of which regional authorities participate in regional programs for the development and support of small businesses. Such banks have a sufficient amount of credit resources, and their participation in lending to small businesses can ensure the flow of the necessary amount of funds into this sector of the economy. The experience of such banks in working with small businesses can be seriously

a special incentive for other (private) banks to participate in lending to small businesses.

A bank with state participation can provide loans not directly to borrowers (small businesses), but to predetermined non-bank credit institutions, which in turn will primarily satisfy loan applications from small businesses. When creating an institution of state guarantees, it is advisable to use the potential capabilities of the existing infrastructure for supporting small businesses at the federal and regional levels (small business support funds).

For example, the Federal Guarantee Fund is, in our opinion, part of the assets of the Federal Fund for the Support of Small Businesses located in the accounts of the Agent Bank (Agent Bank is a bank with state participation in the capital, which has a developed branch network and experience working with the population and with relatively small organizations ), intended to ensure the obligations assumed by the Federal Fund under surety agreements and other legal acts, which, in accordance with current legislation, are the basis for the emergence of civil legal relations.

Another incentive measure within the framework of the implementation of financial support resources for small businesses can and should be the provision of credit institutions with the opportunity to reduce the tax base for calculating income tax by the amount of expenses associated with the formation of reserves for possible loan losses (except for those classified in the first risk group) in due to the fact that the costs of forming these reserves are essentially an element of the cost of banking operations.

Another form of channeling financial resources into the sphere of small business is during the implementation the required minimum factors of state support - venture financing. At the moment, taking into account the high intellectual potential in Russia, a significant number of interesting innovative developments, venture capital

Funding can provide a sharp rise in the country's economy and create conditions for successful competition of domestic enterprises in world markets.

This requires the creation, including using state (municipal) property and funds from state (local) budgets, of a wide network of innovation technology centers and technology parks as the basic infrastructure for the development of innovative small businesses. At the same time, it is necessary to stimulate the development of innovation technology centers and technology parks not only to provide small businesses with space for implementing their own projects, but also to provide small businesses with a wide range of additional services, including participation in financing, provision of equipment, patenting services, centralized accounting, office services, etc.

Main focus effective use budget funds allocated to support small businesses is to stimulate the development of market infrastructure for supporting small businesses, including financial support channels. In general, the main trend in the development of this system should be steps towards its significant decentralization. This is based on the following principles.

Firstly, it is impossible and pointless for the center to engage in lending to individual entrepreneurial projects, given the length of the country and the huge constant movement, a lot of small businesses. In this regard, and also taking into account the fact that small businesses operate mainly in local markets, the role of regional organizational and financial incentives for the formation and development of small businesses is increasing.

Secondly, the main role of federal support structures is to establish common favorable conditions, creating effective mechanisms for economic support for entrepreneurship both in the center and locally.

Thirdly, one of the most important areas public policy in relation to small businesses - creating effective

financial and investment mechanisms based on optimal combination funds of state support, investment resources of private capital and own savings of small enterprises. In this sense, the development of the cooperative and insurance business in general in relation to small enterprises, the creation and development of the above-mentioned mutual insurance societies and mutual lending societies acquires special importance.

Fourthly, active state support for lending and insurance of the small business sector is needed, including a set of measures: a) creation of a favorable legal environment, partial provision of insurance for small enterprises with state guarantees, the creation and development of mutual insurance societies in order, on the one hand, to fill the vacuum in insurance services for small businesses, on the other hand, to more actively attract the own resources of small businesses, as well as representatives of medium-sized and even interested large businesses; b) creation of a favorable legal environment for the creation and development of mutual lending societies, as well as credit unions based on cooperative principles, by groups of small business enterprises. Due to the fact that members of the society (union) have a direct opportunity to control the process of providing loans to members of the society (union), the degree of trust of participants in the formed society (union) increases significantly, which, in turn, can increase the amount of funds allocated by participants for formation of a loan portfolio. However, in one form or another, the allocation of federal budget funds for the development of small businesses in the regions of Russia can only be effectively carried out on a parity basis with the constituent entities of the Russian Federation only if funds are allocated from regional and local budgets. Funds and tools can play an important role in the development of the system of financial support for Russian small businesses technical support from the outside international financial and non-financial organizations.

Programs of international organizations, including those for organizing financial support for Russian small businesses,

are of a long-term target nature and are aimed primarily at creating and strengthening a full-fledged infrastructure to promote the development of small enterprises, ensuring their financial means, provision of information and consulting services, retraining and advanced training of specialists and civil servants, conducting case studies, development of innovative entrepreneurship. For example, the actual implementation of a number of activities of the Federal program of state support for small businesses in the Russian Federation for 2000–2001. (with a deficit of budget funding) became possible only thanks to the help of international organizations.

For example, the European Bank for Reconstruction and Development

was established in 1991. It is an international commercial organization whose main role is to assist the countries of Central and of Eastern Europe and the Commonwealth of Independent States (CIS) in the transition from a centrally planned economy to a market economy. The EBRD provides finance to companies that typically find it difficult to obtain credit from other sources, and thus complements the efforts of other lenders. The EBRD is a public organization with a unique mandate, but in its work the Bank uses methods similar to those of commercial banks. The Bank only engages in commercially viable projects and the principles of sound banking underpin all of its operations. The Bank intends to further increase the volume of financing, in particular, directing it to the development of small businesses in Russia through the Small Business Support Fund in Russia (SFMB).

Lending under this program is carried out by well-trained specialists who have undergone special training within the Program and transferred to the staff of the partner bank as permanent employees along with lending technology. In contrast to traditional Russian banking practice, the determining factor in the FSMB credit technology is individual approach to each client and a thorough analysis of the borrower’s financial situation, while

Particular emphasis is placed on improving the efficiency of the credit cycle. This approach provides high quality portfolio and rapid access of the microcredit department of the partner bank to the level of self-sufficiency.

Particular importance in the implementation of this Program is attached to the development of long-term relationships with borrowers. As a rule, the amount of the first loan is small and the loan is issued for a short period. As the client’s credit history is formed, the amount and terms of loans increase. From the very beginning, loan specialists are committed to long-term cooperation with each borrower and treat each client as a permanent one. The above-mentioned aspects of the FSMB's credit technology are intended to awaken the interest of Russian banks in microfinance. Final goal programs - create permanent ones stable sources financing small businesses throughout the country.

Bakirova Tatyana Yurievna, bachelor, student
Bashkir State Agrarian University

BUSINESS
SUPPORT
MECHANISMS
DEVELOPMENT

The article discusses mechanisms for supporting the development of small businesses in Russia, the main goals of state policy in the field of development of Russian small businesses

The role of state support for bank lending to the agro-industrial complex in Russia
Lending to small and medium-sized businesses in the Russian Federation
Financial planning and forecasting at an enterprise using the example of MTS Ilishevskaya LLC

Economic mechanisms for supporting the development of small businesses can be divided into two large groups: centralized and decentralized. Decentralized mechanisms include various forms of self-regulation of small businesses and their adaptation to changing conditions of the market environment. Centralized mechanisms include government measures to create more favorable conditions for the development of small businesses. Regulation and support of small businesses consists of stimulating the entrepreneurial activity of society by the state in accordance with certain goals and directions of support. Determining targets for the support and development of small businesses should be based on the need to combine the interests of both the state and small businesses, taking into account current state the country's economy.

The main goals of state policy in the field of development of Russian small business are:

creating favorable conditions for effective business activities;
sustainable development of small business as a factor in the formation of a competitive environment and the middle class of Russian society;
expansion of self-employment of the population;
increasing the share of participation of small businesses in the formation of gross domestic and gross regional product, in tax revenues of the federal, regional and local budgets.

The system of state regulation of small business development must correspond to the scale of the tasks facing it; it must have sound conceptual, programmatic, organizational, functional characteristics and indicators.

The “Concept of long-term socio-economic development of the Russian Federation until 2020” notes that promoting the development of small and medium-sized companies is a main element of the state’s economic policy, helping to maintain healthy competition and solve long-term social problems. It includes the implementation of a set of measures aimed at both stimulating growth total number business entities (according to the innovation scenario, it should reach 6 million people by 2020), and to change sectoral structure small and medium-sized companies, including:

reduction in the relative number of small enterprises engaged in trade – up to 20%;
growth in the number of enterprises engaged in such areas as healthcare, housing and communal services, information services, science - up to 50%;
growth of companies engaged in construction and manufacturing industry - 4-5 times (from 130 thousand to 500 thousand companies).

These objectives are expected to be achieved through:

simplifying administrative procedures and reducing associated costs for small and medium-sized enterprises when registering a business and starting a business;
eliminating ineffective and excessive government regulation in the field of licensing, control (supervision) of business activities;
significant reduction in the number of certified products due to expansion of declaration, revision technical standards and rules;
improving taxation of small enterprises;
expanding access to real estate and electricity and gas infrastructure;
accessibility various forms financing business activities;
support for small business development programs implemented by public organizations of entrepreneurs.

The use of the above areas of small business development should contribute to the implementation of the strategic goal of diversifying the economy of the Russian Federation, which will lead to the achievement of the following targets by 2020:

small business share in GDP – 30%
small business share in employment – 30%
small business share in total number existing business entities – 80%.

Let's consider the areas of government support for small businesses in 2010. In accordance with the Decree of the Government of the Russian Federation, funds were provided for:

creation and development of infrastructure to support small businesses (business incubators);
support for small and medium-sized businesses producing and selling goods (work, services) intended for export;
development of a lending system for small and medium-sized businesses;
creation and development of infrastructure to support small and medium-sized businesses in the scientific and technical field;
implementation of other measures to support and develop small and medium-sized businesses;
maintaining registers of small and medium-sized businesses - recipients of state support for small and medium-sized businesses.

11 billion rubles were allocated to support small and medium-sized businesses. In addition, in 2010, the federal budget was allocated to provide state support for the development of small and medium-sized businesses in the following areas:

to support the creation of new small and medium-sized innovative companies - in the amount of 2 billion rubles;
for the implementation of programs to promote the development of small and medium-sized businesses in single-industry towns - in the amount of 2 billion rubles;
for the development of small and medium-sized businesses in the North Caucasus federal district- in the amount of 1 billion rubles.

Thus, 16 billion rubles were used on a competitive basis in the form of subsidies to the budgets of the constituent entities of the Russian Federation, subject to co-financing of expenses from the relevant budgets and in accordance with the program for the support and development of small and medium-sized businesses approved by it.

In addition, there were additional measures to provide state support for the development of small and medium-sized businesses in 2010:

an increase of 1 billion rubles in financing costs in 2010 for the Fund for Assistance to the Development of Small Innovative Enterprises in the Scientific and Technical Sphere;
ensuring the placement of orders in the amount of 5 billion rubles from small businesses to carry out work on major renovation apartment buildings and for the resettlement of citizens from emergency housing stock;
allocation of 2 billion rubles to provide support to small and medium-sized businesses exporting industrial products.

In general, at the federal level, state policy in 2009-2010. was aimed at stimulating the creation of new enterprises and promoting self-employment of unemployed citizens. The main emphasis was placed on financial support for start-ups, which was operated by the Ministry of Health and social development Russia. Unfortunately, as practice shows, such start-ups, formed with financial assistance from the state, rarely grow into viable companies with significant economic potential. Analysis of statistical data allows us to conclude that anti-crisis measures aimed at stimulating the micro-entrepreneurship sector were able to bring very limited results, expressed mainly in an increase in the number of enterprises.

The programs to support small businesses of the Russian Ministry of Economic Development turned out to be somewhat more effective. Thus, in particular, we can talk about the presence of relatively significant connections between the dynamics of the number of small enterprises in the regions and the amount of support allocated by the Ministry of Economic Development of the Russian Federation in the form of annual subsidies. The effectiveness of regional systems for supporting small businesses in last years turned out to be quite low.

All this allows us to conclude that in order to create conditions for long-term effective development small businesses do not need direct measures of state support, but mainly indirect measures of state stimulation of entrepreneurial activity, primarily through the creation of an appropriate institutional environment for the realization of the entrepreneurial potential of Russian society.

Bibliography

Zaripova, G.M. Innovation is an integral part of a competitive market [Text] / G. M. Zaripova // Innovative development modern science: materials of the international scientific and practical conference (January 31, 2014) part 1 - RIC Bashkir State University - Ufa, - P.213.
Zaripova, G.M. Small business lending in modern times commercial banks Russia [Text] / G.M.. Zaripova // Science, education and innovation: materials of the International scientific and practical conference.. Chelyabinsk, 2016. – Part 1- P.115-117.
Zaripova, G.M. Financial and credit support for entrepreneurship [Text] / G.M. Zaripova // Science, education and innovation: international scientific and practical conference (December 28, 2015) Part 1.- P. 111-114.
Siraeva, R.R. Financing of agricultural formations for the purpose of their innovative development[Text] / R.R. Siraeva // Scientific support of innovative development of the agro-industrial complex: materials of the All-Russian scientific and practical conference within the framework of the XX Anniversary specialized exhibition "AgroComplex-2010". – Ufa, 2010. - Part IV. – pp. 122-125.
Zapolskikh Yu.A. Credit risk and the main ways to minimize it. Economy and society. 2014. No. 2-2 (11). pp. 126-128.
Gabdrakhmanova L.R., Fazrakhmanov I.I. Agriculture Republic of Bashkortostan: state and development prospects. Economics and management: scientific and practical journal. 2011. No. 4. P. 68-71.

The main points of state support in Russia are:

Creation of a small business development system;

Creating conditions for optimal business development throughout the country;

Development of measures to create jobs by business entities;

Supporting competition, stimulating investment activity;

Socialization of business, involvement of various segments of the population in business;

Encouragement and assistance to enterprising entrepreneurs through government lending and tax compromises;

Development and improvement of legal legislation in the field of business.

The state support system in Russia consists of:

Legal aspects, administrative, regulations, promoting the legitimate development of business;

The government apparatus, which are the institutional structures responsible for correct functioning entrepreneurship;

Creation of public funds;

Formation of specialized financial organizations.

Over time, secondary methods begin to outperform direct methods. These include primarily:

Tax compromises (partial or complete);

Accelerated methods for calculating depreciation;

Assistance in research activities and training of young specialists.

Enterprises can use financing for the following purposes:

Development of a new business;

Development of new technologies and production of new types of products;

Expansion of a successful business;

Personnel training programs and improvement of information resources;

Development of new sales markets.

Let us highlight the main tasks of government financing:

Involving commercial banks in providing loans and borrowings for promising business entities;

Control over the process of granting loans by banks;

Promoting an increase in capital that can be used through the development of fair competition in the market for providing credit services to business entities;

Helping small businesses attract equity capital.

There are too few credit sources for the development of small businesses in Russia. This situation has developed due to inflation and some problems in banking. In this regard, banks issue only short-term loans with high interest rates, and this does not satisfy current businessmen.

The main ways to improve state policy to support small businesses

The long-term development of market reforms in Russia did not include the development of small businesses. And therefore does not occupy an appropriate place in the state’s economy. The share of small enterprises in the total volume in Russia is much lower than in highly developed countries. The leaders in this aspect are the USA, Japan, Italy, France, and Germany. The experience of these countries suggests that when certain conditions are created, they play an important role in the development of the country's economy. In recent years, Russia has been gradually developing concepts to improve the situation related to business development.

The main objectives of the new concepts are:

Assistance and support in carrying out innovative activities in the development of new types of products;

Creating more favorable conditions that will allow business to develop rapidly;

Creation of a set of security measures.

The first goal is that the state should encourage enterprising businessmen who want to achieve success to make a useful contribution to the country. The second goal is to provide all the necessary resources, personnel, capital, information, and create fair competition. The third goal has a protective function from external factors.

Government support for business is reflected in all sorts of laws that prescribe everything important points to develop and improve the process of creating small businesses. In the early 2000s, business development, marketing centers, and research institutes began to be created. All these structures have significantly improved the situation. This infrastructure delivers government support to the recipient.

It is necessary to develop a system of business financing and insurance. These aspects transformed as they developed. Budget funding was provided only for those business projects that were of federal importance. To optimize the accessibility of banking services, it is necessary to develop mechanisms that will increase the interest of banks.

As for insurance, their high cost does not make it possible for all enterprises to use these services. And the lack of business protection repels lenders and investors.

There are two types of insurance services that play an important role in financial regulation:

Insurance of the property that is involved in the production process;

Insurance of all kinds of economic risks.

Leasing also has a significant impact. It has prospects for organizing a business and there is no need for one-time investments. For beginner businessmen who are on the verge of opening their own business and lack fixed assets, leasing is the most convenient form of lending. We should also not forget about franchising, which provides the opportunity to obtain technologies for a successful business vision.

We can say that in Russia lysine can become the most important tool, which will create a favorable environment for a successful business vision.

Quite a lot important step On the way to improving government support for business, the development of the Concept of Business Support and Development in Russia began. This document reflects all possible ways to improve the climate for opening new businesses and includes measures to resolve all controversial issues and protect business.

Global experience of government support for business

According to a study in the United States, small businesses account for half of major inventions; the share of successful small businesses is very large. This is due to the fact that the state is pursuing the right policy to support business. Funds are being invested and innovation processes are being stimulated. Government orders are carried out on a competitive basis, which attract promising young businessmen who are capable of making a breakthrough in the business field. An infrastructure is being created to ensure promotion innovative projects at all stages of the process. Legal legislation has practically eliminated risks for entrepreneurs and allows business newcomers to feel confident.

In Germany, for example, a huge emphasis is placed on the preferential lending system. There, loans for business vision are issued in the amount of 500 thousand euros for a period of up to 20 years, the specifics of repayment of which are simply amazing. Repayment interest rates are set separately for each year, this increases the possibility of timely repayment of the loan. There is also a very successful state insurance loans, this can significantly reduce business risks. Preferential and direct budget financing play an important role. It concerns the most important and priority projects to support a specific industry and the state economy as a whole.

In Japan, in addition to all of the above government regulation measures, information and consulting departments created by the state to help businessmen are of particular importance. This significantly reduces the risks of failure and helps you choose the right path for business development.

Business development is a fundamental factor in the development of the state’s economy as a whole. Therefore, the creation of favorable conditions should be one of the main directions of state activity. The term “state support” should be not just a phrase, but a set of effective measures to increase the prestige of the vision of business in Russia. The state needs to allocate funds and resources to help businessmen, strengthen legislative framework, work with the banking sector and improve legal and tax legislation.

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How to overcome competition?

In order to compete with others, businesses have to make special offers, promotions, give the client something new in order to lure him to them.

Sometimes it can be very difficult to set up a system from start to finish, since many components of any organization require some kind of experience.

For example, it is quite difficult for an enterprise producing any product to take its place in the market. To do this, you need to convince the client to purchase his product, which is sometimes quite difficult. In addition to convincing the client, it is often necessary to convince the intermediaries. Not all stores immediately agree to purchase for sale. New Product, because they don’t know if customers will like it.

To solve these problems, organizations have to make special conditions for clients in order to somehow compete with other large enterprises. It could be like low prices(even if unprofitable initial stage), as well as free provision of services for testing.

Such organizations have some differences with other, larger structures. For example, the number of employees for a small enterprise is limited. If the number of employees of an organization exceeds 100 people, these are already medium-sized enterprises.

Control register

For small businesses there is also a maximum income limit. This figure should not exceed 800 million rubles, taking into account all taxes. There are special mechanisms for keeping records of all small businesses. This mechanism is single register small businesses.

An organization is included in this register after passing a special registration procedure. The register stores data on the name of the organization, its physical location, tax identification number, category of the enterprise and other information necessary to control the activities of the organization.

This registry helps people obtain the necessary information about a specific company in order to protect themselves from scammers.

In addition, such control mechanisms for small businesses make it possible to control and suppress the fraudulent activities of dubious organizations. After all, by entering an organization into the register, the founder takes full responsibility for its activities and, if something happens, will be able to answer for its legal and economic violations.

Small business support

There are some forms of financial assistance for small businesses. In addition to them, there are a number of measures, both administrative and legal, and financial. So, for small businesses, some banks offer preferential terms for lending or other types of services.

Some laws regulating business activities have amendments and benefits for small businesses. Such actions stimulate the development of small businesses and help them grow.

Thus, among the ways to support entrepreneurship, the main ones are:

The state creates infrastructure for the development and support of entrepreneurship.
The system for registering business objects is being simplified. In addition, the process of licensing enterprises and certifying their products is simplified.
To support small businesses, accounting requirements are being simplified.
This also includes organizing staff training.
Preferential terms for loans for small and medium-sized businesses.

Simplifications

Simplifying bookkeeping can save small businesses a lot of time and effort at the initial stage. It is also recommended to choose a simplified taxation system for small businesses. This will significantly simplify the reporting process at the initial stage of business development. According to the requirements of the simplified taxation system, reports are submitted once a year. This means that from the time the organization begins its activities until the submission of the next report, you can have time to develop and hire a specialist to compile and submit it.

Simplifying certification and obtaining permission to conduct activities is also a very important form of support for organizations. This will allow you not to spend a lot of time organizing the start of the work process, but to immediately begin activities.

The following support methods are especially important; these are simplified terms of service in banks. Many large banks offer such services.

This means the availability of some benefits and more favorable lending conditions.

If we're talking about about servicing the depositor (calculating wages to employees, receiving funds from clients), then such accounts also have preferential conditions.

For example, at the initial stage the bank will require payment for its services in a smaller amount.

If we are talking about lending, then preferential interest rates, simplified conditions and the absence of any kind of commissions are possible. It all depends on the bank itself that provides these services.

Also, ways to support entrepreneurship include various actions aimed at improving the qualifications of personnel, providing information support, improving taxation systems and simplifying them for small businesses.

Ways to financially support small businesses

Methods of financial support for small businesses include the following forms:

Simplification of tax regulation. For small businesses, the issue of filing tax reports and maintaining accounting records is sometimes very pressing. This is due to the fact that small businesses do not always have sufficient staff or capital to hire accountants. General system taxation requires filing reports every month, which seriously complicates the organization’s activities. When choosing a simplified taxation system, reports must be submitted once a year, which significantly simplifies the activities of organizations.
Improvement of legislation and legal sphere regulation of the activities of small business organizations. A lot of resources are spent on obtaining business permits, licenses and business registration. Simplification this process for small businesses it can significantly simplify their life and allow them to quickly start their activities.
Improving credit conditions for such enterprises. The government can reward banks for serving small businesses. In this regard, banks encourage small businesses to be serviced by them, offering various benefits and reduced interest rates.

Promotions

Various types of actions aimed at popularizing and providing an incentive for carrying out certain types of activities (in particular, innovative ones). Holding competitions and tenders allows entrepreneurs to earn money and popularity, which encourages them to work in their chosen direction and develop their business. Funding for certain areas of activity makes it possible to further popularize specific areas of activity of such organizations.
Grants, bonuses and compensation. Conducting tenders by the state for the purchase of specific services or goods allows such entrepreneurs to submit an application and participate in a large-scale transaction, in the case of providing services better than those of competitors.

Another way to provide support for small businesses is various kinds exhibitions and fairs. By providing a place for an entrepreneur, he can get a good flow of clients and significantly accelerate the development of his business.

There are many options and ways to support small businesses. From receiving awards for innovative developments to more favorable lending conditions from banks. All of them are aimed at popularizing doing business and stimulating the development of enterprises. Small business is a very important part commercial activities, and its conduct cannot be infringed in any way. For modern world Small business development is the most important and priority area.

Why is supporting small businesses important?

The fact is that it is very difficult for small businesses to compete with large companies. They already have their own target audience, their own customers and reputation, thanks to which their market is developing much more rapidly. Under pressure, it is very difficult for small businesses to get off to a good start. Their products are difficult to bring to market, especially if they are not something innovative or new.

Under such circumstances, there will be very few people willing to start such a business.

Naturally, such a situation will not suit either the entrepreneurs themselves or the state. For this purpose they were used different ways attracting entrepreneurs to run small businesses. This area is being stimulated in every possible way, as it is very important for the state.

Their financial support

Financial support for small ones is very important. It is thanks to her that they can begin to function fully. In turn, to encourage these activities, the state should take measures to simplify taxation for these organizations and assist in obtaining licenses and work permits.

Special conditions for servicing such organizations in banks play a special role. Preferential loans and simplified servicing of small business accounts allow them to conduct their activities and generally exist. If such enterprises did not have support, their existence would be more difficult to realize.

Bottom line

It is also worth mentioning various types of funds created to support business. In particular, these include funds for financing innovative inventions and research. Now there are a lot of ideas for scientific research, however, not all of them can be implemented without proper funding. These funds will help bring ideas to life and provide adequate funding for research.

There are also various types of business incubators that are designed to train entrepreneurs and provide them with assistance in bringing their products or services to market. Such organizations also play an important role in the development of small businesses.