FINANCIAL MANAGEMENT OF SMALL BUSINESS ENTERPRISES

Abstract

This article summarizes the issue of financial management of small business enterprises in modern conditions, and also defines key features and approaches to managing financial flows in the process of small business activity. The main goal of the study is to study the practical aspects of managing the finances of small business enterprises in the conditions of the transformation of financial markets under the influence of the intensification of technological development and the widespread introduction of information and digital technologies into the practice of small businesses. The systematization of literary sources and approaches to solving the problem of financial management of small enterprises shows that most researchers single out their limited access to sources of financial resources as a specific feature of these companies. The urgency of solving this scientific problem lies in the fact that the effective use of finances by small enterprises will significantly increase the effectiveness and profitability of their activities in the planned period. The object of the study is the financial management processes of small enterprises, because they allow the management of companies to solve the problem of properly providing business entities with a sufficient amount of working capital to ensure their effective functioning. The article presents the results of an empirical analysis of the financial management of small business enterprises, which showed that in the conditions of limited access of small enterprises to bank financing, commercial credit and targeted financial stimulation by state bodies engaged in regulatory activities in the field of small business acquire special relevance. The research empirically confirms and theoretically proves that in the conditions of the transformation of financial markets and the economic system in general, when there is an intensive introduction of new digital and information technologies into the practice of activities of enterprises in various spheres and branches of the economy, the objective necessity is the proper financial support of small enterprises to guarantee their uninterrupted operation and ensuring the appropriate level of profitability of their operation. The results of the research can be useful for managers of small businesses, as well as for bank managers who make decisions about financing the activities of small businesses in conditions of their limited access to financial resources.