Financing of enterprises innovative activities in modern conditions

This article discusses the financing of innovation in the current stages of economic development. In the world economic literature, innovation is interpreted as the transformation of potential scientific and technological progress into real, embodied in new products and technologies. Innovation is a collaborative process whereby organizations abandon old paradigms and make significant progress, where innovative ideas come from several sources, including unreasonable demands or goals and lack of time. The system of financing of innovation activity includes elements connected with each other with hierarchical subordination and peculiar functional features.To date, the further development of the economy can be provided only by the introduction of innovative products in industrial enterprises. The main constraining factors of innovative development are the unwillingness of enterprises to introduce products (technologies) of innovative activity, poorly formulated model of management of financing of this innovative activity and unwillingness to reform this system. Enterprises refuse to consider innovation as a key to further development and the possibility of making more profit. In order to ensure a balance between economic growth and a sustainable increase in the well-being of society, it is necessary to reduce the economy’s vulnerability to changing external conditions.