System analysis of small business

Small business develops all over the world and occupies a special position in the economy of any country. Moreover it takes part in all spheres of society. At the same time small business is an open dynamic economic system that has independence and self-regulation. The article discusses the concept, advantages, disadvantages and functions of small business, as well as the tree of functions is constructed. Attention is focused on the properties of small business as a system; the composition of small business in Russia by federal districts and by industry is determined; the classification and structure of small business is shown. The authors carry out a SWOT analysis of small business in the Russian Federation and determine the weaknesses and strengths, opportunities and threats.