WAYS TO SOLVE PROBLEMS REGARDING LIQUIDITY AND SOLVENCY OF SMALL DOMESTIC ENTERPRISES

Abstract

In today's market economy, the economic activity of all economic entities is accompanied by risk, which increases their level of competitiveness and requires the management of enterprises to find various ways to combat it. An important indicator of a company's financial health is its solvency and liquidity. Solvency and liquidity are different, although interrelated concepts. The purpose of the study is to analyze the liquidity and solvency of small private enterprises in the domestic market, as well as to provide recommendations for improving the financial condition of the enterprise, because small enterprises are the basis of any market economy. Under the conditions of the unstable economic and political situation and the financial crisis, the activities of small businesses enterprises is hampered by the presence of significant problems and obstacles. This article analyzes the financial condition of this enterprise using horizontal-vertical and coefficient analysis, where both positive and negative changes were detected. It is worth saying that there are many problems from a financial point of view in the activities of the WPF "Oksana": low liquidity, reduced profitability, low financial stability. The enterprise should carry out work to improve financial indicators, as a result of which it will increase its autonomy and profitability and will be able to conduct its business activities efficiently. Small businesses have limited access to financial and money markets. As a rule, one can only dream about the issue of shares. It is not possible to get a loan not only because of its high cost, but also because of the risky financial condition of the enterprise and the lack of a credit policy. A high level of liquidity and solvency provides the enterprise with an appropriate level of trust from creditors, which seeks to attract funds for the development of the company. To directions for improving the assessment of the company's solvency can be attributed to the improvement of analytical ones the capabilities of its information base for analysis by using account data; calculation of the system of solvency indicators based on the company's cash flows; carrying out operative analysis of solvency. The further direction of the research is the formation of the system indicators of the company's solvency and substantiation of their normative values at the industry level. Therefore, the study of modern problems of liquidity and solvency of small enterprises in Ukraine acquires special relevance.