Assessment of the financial aspects of small and medium-sized enterprises: Russian experience
Abstract
The aim of this study was to assess the key financials of an array of micro-sized businesses, small and medium-sized enterprises as grouped by industry. This article deals with the assessment results of such financials as the net financial result of enterprises, the proportion of profitable and loss-making enterprises, the profitability of manufactured and sold products, the current levels of profit and loss, respectively, per profitable and loss-making enterprise. The dynamics of such financials during the period from 2010 to 2014 was presented. Accounting and statistical reporting was used as the input data. In the course of this research it was proven that during that period the profitable enterprises accounted for about 80%. However, the level of profitability did not depend on the size of an enterprise. The largest proportion of profitable enterprises was noted in such sectors as education and commerce. The net financial result per employee in micro-enterprises was significantly higher than those for medium-sized enterprises and small enterprises. The results of this study may be used to validate business development plans and programs for various regions and sectors of the Russian economy.
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