THE ESSENCE OF THE FINANCIAL MECHANISM FOR THE DEVELOPMENT OF SMALL AND MEDIUM BUSINESS

Анотація

The paper explored the main problems of small business in Ukraine, including: general state of Ukraine's economy, the problem of monopolization of business, low domestic. competition, the lack of sufficient start-up capital, financial capital, imperfect tax system, high levels of corruption, unstable business environment declarative form of state support and others. Determined that solving these problems of small business development in Ukraine should be one of the key areas of public policy, because small businesses will significantly improve the effectiveness of national economic potential, optimization of Ukraine's participation in international division of labor, strengthening the competitiveness of the national economy. The publication considers the essence and the objective necessity of the use of financial mechanisms for the development of small and medium business, discloses a scheme for the implementation of the financial mechanisms of development of small business through financial instruments. The research defines the problems and prospects of effective use of these financial mechanisms in Ukraine.

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