Approaches to classifying small business financing methods and choosing a priority source

In today’s world, microenterprises, especially new ones, are more than ever seen as a means of developing entrepreneurship, promoting not only employment, social and political stability, but also innovative and competitive power. The emphasis shifted from small business as a social good, which should be supported at the expense of economic costs, to small business as a means of entrepreneurship. With this shift came a new understanding of the important role of entrepreneurship. In the presented article, we assess the possibilities of financing business entities with a focus on small and medium-sized industrial enterprises. Each enterprise needs its own financial sources for its activities. But many self-financing companies cannot do business without problems and use various forms of external settlement resources. The main purpose of this article was to identify and assess the opportunities by which small and medium-sized industrial enterprises carry out their entrepreneurial activities. Partial goals were to identify the factors that determine the choice of financing forms, to analyze the forms of financing of business entities. The results of the studies showed that the form of decision-making mainly determines the actual needs of the business, the possibility of access to foreign resources and, therefore, interest costs.