FINANCIAL TOOLS FOR PROMOTING BUSINESS DEVELOPMENT IN UKRAINE
Abstract
The article examines the current state and prospects for the development of entrepreneurship in Ukraine. The main types of business entities are considered depending on the book value of assets, net income from product sales and the average number of employees, and the characteristic features of large, medium, small and micro business entities are highlighted. The main problems restraining the development of entrepreneurship in Ukraine have been identified, namely: imperfect legislative support, a high level of corruption, a large tax burden, a significant deficit of financial resources and a lack of own working capital, difficulty in obtaining financial and credit assistance, low purchasing power of buyers, lack of skilled workforce, etc.
It was found that the vast majority of business entities in Ukraine are natural persons-entrepreneurs, of which 99% belong to micro-enterprise entities. It was determined that for the effective development of entrepreneurship, it is necessary to carry out rational market and state regulation of their activity. At the same time, support for the activities of business entities should be based on the application of financial instruments, levers and incentives, taking into account regulatory support. Financial support of small and medium-sized enterprises by the state can be carried out in the form of direct financial support by providing credits and loans for opening one's own business with guarantees of their return; provision of subventions and grants for the creation of priority types of activities; partial compensation of interest on loans provided for the implementation of investment projects and partial compensation of leasing payments; formation of an effective financial.
The creation of state, regional and local funds and specialized financial institutions for the purpose of attracting and effectively using financial resources should also be included in the financial instruments at the state level. Special attention needs to be paid to the improvement of the regulatory and legal framework in order to ensure the resilience of business entities to crisis phenomena in the modern economic environment
