Management of the Process of Credit Support for Small Entrepreneurship at the Stages of an Independent Business Formation

Yuliia M. Melnychuk, Liudmyla A. Chvertko, Maksym A.Slatvinskyi, Tetiana O. Korniienko &Oksana A. Vinnytska


Today, small business is the socio-economic foundation without which no innovation-oriented, especially European, state can develop. Its development largely determines the rate of economic growth, structure and quality of gross domestic product. In addition, the main and extremely important function of small business is the social function, so the interaction of such business with the banking sector is an integral part of business development in each country. The purpose of the article is to substantiate the areas of improvement of mutual processes that arise during the lending of small enterprises in the conditions of formation of their independent activity. To achieve the goal of the study, the following methods were used: description, system-structural, theoretical and analytical analysis, observation and comparison, experimental, synthesis, grouping and generalization, statistical and financial analysis. The article identifies the problems that hinder the management of small business lending processes, as well as highlights the features of small business that affect management decisions. Given that small and medium-sized enterprises, especially start-ups, need institutional, technological and financial support, the need to unite small businesses into craft chambers is justified. It is also proved the expediency of consolidation of large entrepreneurs with regional chambers of commerce and industry, which participate in the formation of budgets at all levels, development of construction and industry, legal preparation of projects governing small and medium-sized businesses. It is determined that chambers of commerce and industry have a great influence on all aspects of life of local communities, participate in local self-government, thus influencing important decisions on socio-economic development of certain regions and the country as a whole. It is established that the main task of credit process management at the stages of independent business formation is to provide comprehensive support and assistance to small and medium enterprises. The directions of the decision of problems of management of business for creation of an independent climate of their activity by means of bank and private crediting are offered.