The analysis of the sources of financing Of small businesses

The analysis of the main sources of funding of small businesses, both external and internal, has been done in the present article. Currently the main source of external financing is accounts payable. The main source of the internal financing is the financing by means of the capital release. Financing by means of the capital return is done by selling material resources, as well as by optimization of the debts, when the money is paid back, which can be used again for financing the small business activity. The decisive role belongs to encashment of the debts because any sell of assets is accompanied by creation of debts. The analysis of the dynamics of the accounts payable and receivable of small businesses in 2000–2009 demonstrated that the Russian small businesses actively used the mechanisms of accumulation of accounts receivable for enlargement the sale markets, and the accounts payable for obtaining the turn-over capital.

small business, employment, sources of financing, turn-over capital, crediting, economic activity, external financing, internal financing, self-financing, state financing