STIMULATING THE DEVELOPMENT OF SMALL AND MEDIUM-SIZED BUSINESSES IN THE RUSSIAN FEDERATION

ABSTRACT

The article examines the importance of the small and medium-sized business sector, and provides an overview of existing government support for their development. In addition, the problems and challenges faced by these types of businesses are described.

Keywords: small and medium-sized businesses, small and medium-sized enterprises (SMEs), socio-economic growth.

The small and medium-sized business sector is an important component of the Russian Federation's economy, contributing to its diversity, innovation, job creation and dynamic development. In modern conditions, innovation is an effective tool for increasing competitiveness by attracting investments, opening new markets and creating products and services that meet new needs. In developed countries, small and medium-sized businesses are the driving force behind economic growth. The relevance of this study is due to the fact that SMEs play a key role in increasing the competitiveness of the national economy and its diversification. The study examines ways to stimulate small businesses in Russia and examines the challenges in current strategies.

Let's determine who belongs to the subjects of small and medium-sized businesses. The SME Corporation characterizes a small business as a local firm with a limited list of activities, having a small share of influence in the market, which is managed by the owner. Medium-sized businesses are the next stage of the company's development. The conditions for classifying a subject as a small business are considered to be annual income of up to 800 million rubles and the average number of employees of up to 100 employees. The criteria for a medium-sized business are annual revenue of 801 million to 2 billion rubles and the average number of employees of 101-250 people. In addition, there is a separate category as a "microenterprise", which is characterized by an annual income of up to 120 million rubles and the number of no more than 15 employees [2].

According to the unified register of small and medium-sized businesses, as of February 10, 2025, there are only 6,619,207 SMEs, including 2,266,064 legal entities and 4,353,143 individual entrepreneurs. The increase is 3.6% compared to February 10, 2024, when the number of SMEs was 6,390,834 [1].

Next, let's look at Federal Support Measures that are in effect throughout Russia, as well as regional measures that are in effect only in certain regions of the Russian Federation. The following universal measures are indicated on the website of the Federal Tax Service to support and sustain business growth: information support and consulting (seminars, courses, trainings), infrastructural support (technoparks, business incubators), support for innovations and scientific and technical developments, assistance in fair and exhibition activities, legal and accounting support, financial support(subsidies, grants, compensations, benefits) [3].

In 2025, according to Alfa Bank, the following methods of stimulating the development of small and medium-sized businesses operate in Russia:

1) Subsidies for new employees.  The business receives subsidies in the amount of three minimum wages for each new employee, taking into account insurance payments and the district coefficient.

2) Grants for enterprises created by young people. State assistance measures in 2025 are available to sole proprietors and founders of legal entities aged 14 to 25 years inclusive. Under 18 years of age — with parental consent. At the same time, if we are talking about a company, a young businessman should own a share of over 50%.The grant amount is from 100,000 to 500,000 rubles.

3) Subsidies for agriculture. Their goal is to support and preserve the priority areas of the agro—industrial complex.

4) Grants for the implementation of Russian digital solutions. The program is aimed at supporting particularly significant projects, the implementation of which will accelerate the development of the information technology industry in Russia. The grant amount ranges from 10 million to 6 billion rubles.

5) Subsidies from the employment center. Employment centers help those who want to start their own business to receive financial support. The amount of payments depends on the region.

6) Tax benefits, including: 0% VAT for the tourism business, accelerated VAT refund, and tax holidays [4].

Despite the increased attention paid to SMEs, there are some issues that the Government also needs to focus on. The main problems of business development in 2025, according to the Noboring Finance company, are as follows:

1) The rise in the cost of loans. It will be less profitable for businesses to receive loans due to the high key interest rate.

2) Inflation. This will lead to higher costs: you will have to pay suppliers more for goods, increase logistics costs and salaries for employees.

3) Depreciation of the ruble against the dollar. In these conditions, the business will have to restructure its work and pricing policy.

4) Dependence on sanctions. If new sanctions are imposed, Russian entrepreneurs will have to look for suppliers of necessary goods, new logistics chains and use import substitution.

5) Lack of personnel. Businesses will be forced to compete for candidates and offer employees more favorable terms than competitors.

6) Changes in tax legislation. Entrepreneurs will have to carefully keep records, involving experienced consultants [5].

Efficient operation of small and medium-sized businesses is the foundation of a competitive economy. Their activities have an impact on economic growth rates, the structure and quality of gross domestic product. Enterprises promote innovation, provide the domestic market with necessary goods and services, create new jobs and solve various social problems. In modern conditions, the revival and development of small and medium-sized enterprises should become key factors of socio-economic progress. The innovative development of the state also directly depends on the level of participation of the small and medium-sized business sector. The analysis showed the government's interest in supporting this sector, and also identified relevant issues that the government should take into account when developing strategies to improve entrepreneurship.

References:

1. ЕДИНЫЙ РЕЕСТР СУБЪЕКТОВ МАЛОГО И СРЕДНЕГО ПРЕДПРИНИМАТЕЛЬСТВА /  [Электронный ресурс] // Федеральная налоговая служба : [сайт]. — URL: https://ofd.nalog.ru/statistics.html (дата обращения: 24.02.2025).
2. Малый и средний бизнес — что относится и в чем разница /  [Электронный ресурс] // Цифровая платформа МСП.РФ : [сайт]. — URL: https://мсп.рф/services/news/detail/maliy-i-sredniy-biznes-chto-eto-i-v-chem-otliche/ (дата обращения: 24.02.2025).
3. Поддержка малого и среднего бизнеса /  [Электронный ресурс] // ФЕДЕРАЛЬНАЯ НАЛОГОВАЯ СЛУЖБА : [сайт]. — URL: https://www.nalog.gov.ru/rn77/msp_support/ (дата обращения: 24.02.2025).
4. Льготы и субсидии для бизнеса в 2025 году /  [Электронный ресурс] // Альфа-Банк  : [сайт]. — URL: https://alfabank.ru/help/articles/sme/start/lgoty-i-subsidii-dlya-biznesa/ (дата обращения: 24.02.2025).
5. Вовкогон В., Пономарева А. Что ждет малый и средний бизнес в 2025 году: прогноз от финдира / Вовкогон В., Пономарева А. [Электронный ресурс] // Нескучные финансы : [сайт]. — URL: https://noboring-finance.ru/gazeta/hto-zhdet-malyj-i-srednij-biznes-v-2025-godu-prognoz-ot-findira (дата обращения: 24.02.2025).