VENTURE FINANCING IN THE SYSTEM OF MANAGEMENT OF INNOVATIVE PROCESSES
Abstract
Ilina O.V., Ilin V.Yu. VENTURE FINANCING IN THE SYSTEM OF MANAGEMENT OF INNOVATIVE PROCESSES
Purpose. The aim of the article is to analyze sources of financing of innovative processes of domestic enterprises, due to dynamics of financing of innovative activity, to organize the grouping of sources of financial support of innovative processes and to determine the place of venture financing in their structure.
Methodology of research. The research is conducted on the basis of the use of monographic, abstract and logical, historical methods. The methodological basis for the study of material is the dialectic method of cognition of social and economic phenomena. The methodical provision of an individual enterprise or investment project is determined by the subjects of investment activity, that is, the methods and norms developed by them independently according to their own requirements and goals.
Findings. The article deals with the structure of the financial support of innovation activity, with the main emphasis on the study of financial resources, which play a key role in ensuring the innovation process. The sources of financing of innovative processes are determined according to three categories: own funds, attracted funds, borrowed funds. The dynamics of financial support of innovation activity in Ukraine, based on the total expenses, namely, own funds, the state budget, foreign investors and other sources, is analyzed.
Originality. It is proved that each source of financial support has certain advantages and disadvantages, but to involve in the implementation of an investment project, the most advantageous option is required in accordance with the financial analysis of the enterprise. The largest share in the total financing of firms' activity is equity, therefore the availability of free financial resources at the enterprise plays a decisive role in increasing production capacity.
Practical value. Forfeiting, investment leasing, investment selling, venture capital and business angels have been identified as progressive sources of investment attraction. At present, the indicator of formation of a new level of innovation development model is the attraction of venture financing as a priority source of financial support in innovative processes. Venture investors are extremely at risk with their own investments that an investment project is not being implemented, but the probability of obtaining a surplus profit justifies risks.
Key words: venture financing; venture funds; sources of financial support; innovations; innovation activity; management; financing.
Keywords
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References
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