Importance The main problems preventing the access of business organizations to the existing forms of State support include information insufficiency, financial instability of small businesses, the lack of necessary professional skills to make a business project attractive from investment viewpoint, and difficulties in providing collateral and guarantees when obtaining loans. In view of the above problems, the proposals that enable to ensure effective access of small and medium-sized enterprises implementing investment projects to financial support in the form of municipal guarantees on loans are of special importance. Objectives The aim of this work is to develop proposals facilitating effectiveness of financial support to business projects at the municipal level, with minimal risk for the municipal budget. Methods Using scientific, economic and mathematical methods of research, I was able to identify the areas of improving the financial instruments of State support to small and medium-sized businesses with limited budgetary allocations, and to develop specific proposals that help implement them in practice. Results I have developed methods enabling to mediate municipal collateral for Bank loans through the issuance of municipal securities, namely, demand bills of exchange, as well as to organize a Microcredit Fund and to make an equity contribution to lend to small businesses on preferable terms. Conclusions and Relevance The proposals will not only ensure the implementation of activities and programs for business support, but also increase the volume of financial resources for business organizations without additional budgetary costs, expand the channels of financial and credit support, and enhance its efficiency.
Keywords: financial, credit, support, effectiveness, measures, State support, small and medium-sized businesses, SME, municipal guarantees, micro-lending, access, resources, tools
References:
Vinokhodova A.F., Dmitrik E.G. Finansovaya sreda predprinimatel'stva [Financial environment of business]. Stary Oskol, TNT Publ., 2012, 328 p.
Demidov A.Yu. Voprosy modernizatsii gosudarstvennogo menedzhmenta v usloviyakh vnedreniya programmno-tselevogo metoda upravleniya [Issues of public management modernization when introducing result-oriented method of control]. Finansy = Finance, 2014, no. 4, pp. 50–53.
Drigo M.F. [Problems and prospects for regional securities market development]. Rossiiskii ekonomicheskii internet-zhurnal, 2008, no. 1, p. 7. (In Russ.) Available at: Link.
Yescombe E.R. Printsipy proektnogo finansirovaniya [Principles of Project Finance]. Moscow, Vershina Publ., 2008, 488 p.
Kapkanshchikov S.G. Gosudarstvennoe regulirovanie ekonomiki [State regulation of economy]. Moscow, KnoRus Publ., 2009, 346 p.
Kak povysit' effektivnost' upravleniya obshchestvennymi finansami [How to increase the efficiency of public finance management]. Finansy = Finance, 2014, no. 5, p. 77.
Komyagin D.L. [Procedure for creation of obligations of the Russian Federation, a constituent entity of the Russian Federation, and a municipal entity on State and municipal securities: scientific and practical comments on Articles 7 and 10 of Federal Law “On Specifics of issue and circulation of State and municipal securities”]. Public Law Researches, 2013, no. 3, p. 4. (In Russ.) Available at: Link.
Kopychenko G.S. Munitsipal'nye programmy kak instrument povysheniya konkurentosposobnosti munitsipal'nykh obrazovanii [Municipal programs as a tool to enhance competitiveness of municipalities]. Finansy = Finance, 2014, no. 6, pp. 71–75.
Kuznetsov N.V., Lebedev Yu.V. Finansy organov mestnogo samoupravleniya i fondovyi rynok [Finances of local authorities and the stock market]. Innovatsii i investitsii = Innovation and Investment, 2011, no. 4, pp. 106–109.
Kremlev A. Raschety s primeneniem vekselei [Calculations with the use of commercial papers]. Finansovaya Gazeta. Regional'nyi Vypusk, 2000, no. 1, no. 3. Available at: Link; Link. (In Russ.)
Nikiforova V.D., Ostrovskaya V.Yu. Gosudarstvennye i munitsipal'nye tsennye bumagi [State and municipal securities]. St. Petersburg, Saint Petersburg State University of Economics and Finance Publ., 2004, 191 p.
Nikonova I.A. Proektnyi analiz i proektnoe finansirovanie [Project analysis and project financing]. Moscow, Al'pina Pablisher Publ., 2012, 154 p.
Penyugalova A.V., Pyshnograi A.P. [Developing the municipal securities market in Russia during the period of market reforms]. Upravlenie ekonomicheskimi sistemami,2010, no. 23, pp. 37–43. (In Russ.) Available at: Link.
Pertsov L.V. Vnedrenie gosudarstvennykh programm sub"ektov RF i munitsipal'nykh programm v praktiku upravleniya: voprosy i otvety [Implementing government programs of subjects of the Russian Federation and municipal programs in management practice: questions and answers]. Byudzhet = Budget, 2012, no. 10. Available at: Link.
Polyak G.B. Novatsii v byudzhetnom protsesse [Innovation in the budgetary process]. Finansy = Finance, 2013, no. 1, pp. 55–57.
Pyshnograi A.P. Nalogooblozhenie munitsipal'nykh tsennykh bumag v Rossii [Taxation of municipal securities in Russia]. Narodnoe khozyaistvo. Voprosy innovatsionnogo razvitiya = National Economy. Issues of Innovation Development, 2010, no. 5, pp. 223–226.
Rukovodstvo po upravleniyu regional'nymi i munitsipal'nymi finansami [Guidance on regional and municipal finance management]. Moscow, Lenand Publ., 2007, vol. 1, 540 p., vol. 2, 612 p.
Sattarova N.A. Nekotorye funktsii gosudarstvennykh organov v byudzhetnykh pravootnosheniyakh [Some functions of State bodies in budgetary relations]. Bukhgalter i zakon = Accountant and Law, 2006, no. 3, pp. 2–10.
Teteryatnikov K. Voprosy finansirovaniya programm razvitiya munitsipal'nykh obrazovanii: mezhdunarodnyi i rossiiskii opyt [Financing the municipality development programs: international and Russian experience]. RISK: Resursy, informatsiya, snabzhenie, konkurentsiya = RISC: Resources, Information, Supply, Competition, 2014, no. 1, pp. 171–183.
Chaldaeva L.A. Razmeshchenie i obrashchenie tsennykh bumag [Placement and circulation of securities]. Daidzhest-Finansy = Digest Finance, 2006, no. 10, pp. 11–18.
Chernyavskii A.V. Problemy sbalansirovannosti regional'nykh byudzhetov [Problems of regional budgets’ balance]. Finansy = Finance, 2014, no. 8, pp. 21–25.
