Use of stock market instruments as a way to support small and medium-sized businesses during economic crises
https://doi.org/10.26425/1816-4277-2021-10-139-146
Abstract
This study determines the possibilities of using stock market instruments as a source of financing for small and medium-sized businesses during the COVID-19 coronavirus crisis, as well as developing proposals for expanding the system of public support measures to popularise this mode of financing. The authors put forward a hypothesis that the stock market is an effective tool for small and medium-sized businesses to use in times of crisis, but that it is rarely used at the moment. The existing methods of state support for small and medium-sized businesses using stock market instruments have been systematised and reviewed. The procedure for granting subsidies to small and medium-sized businesses has been defined and the procedure for selecting issuers has been highlighted. Foreign experience of supporting small and medium-sized businesses through the stock market, using the United States and Polish examples, has been studied. The difficulties encountered by entrepreneurs in using the stock market instruments in Russia have been analysed and proposals for overcoming them have been made. Conclusions have been made on the effectiveness of this way of supporting small and medium-sized businesses in a difficult economic situation. A proposal to expand the system of state support and popularise this method of financing among small and medium-sized businesses has been formulated.
About the Authors
K. V. Gluhov
Ministry of Economic Development of Russian Federation
Russian Federation
Russian Federation
Leading Advisor,
Moscow
M. V. Shipilova
Russian Presidential Academy of National Economy and Public Administration
Russian Federation
Russian Federation
Student,
Moscow
References
1. Baldina Yu. A. The role and position of small and medium-sized entities in contemporary economic environment, Bulletin of Udmurt University. Series Economics and Law, 2016, vol. 26, no. 4, pp. 7–10. (In Russian).
2. Gerchikova E. Z. Development of small entrepreneurship as a factor of increasing the level of economic security, Ekonomicheskaya bezopasnost` i kachestvo, 2018, no. 1(30), pp. 61–64 (In Russian).
3. Gudkova O. V. The role and importance of small business, the situation in the modern economy, HronoEconomics, 2020, no. 3(24), pp. 98–103. (In Russian).
4. KuzmenkoYu. G., BaldinaYu. A., Rezepin A. V. Development of small and medium-sized businesses as a factor of sustainable development of the region (on the example of the Chelyabinsk region), Internet Journal “Naukovedenie”, 2017, vol. 9, no. 4. Available at: http://naukovedenie.ru/PDF/08EVN417.pdf (accessed 25.06.2021). (In Russian).
5. Morozko N. I., Morozko N. I., DidenkoV. Yu. Financial and non-financial measures to support small and medium-sized businesses in 2021 and in the medium term, Economy. Taxes. Law, 2021, vol. 14, no. 1, pp. 31–40. (In Russian). https://doi.org/10.26794/1999-849X-2021-14-1-31-40
6. Galcheva A., Khimshiashvili P. Almost 70% of Russian companies have suffered due to the coronavirus pandemic, RBC. Available at: https://www.rbc.ru/economics/28/05/2020/5ecf711b9a7947324d1448cf / (accessed 25.06.2021).
7. National Project: Development of stock Market Instruments for SMEs. The role of the Bank of Russia, Bank of Russia. Available at: https://cbr.ru/StaticHtml/File/41186/Poliakova_Bank_Rossii.pdf (accessed 25.06.2021).
8. Let’s go! How a window of opportunity opened in the IPO market, Sber Pro. Available at: https://sber.pro/publication/poekhali-kak-na-rynke-ipo-otkrylos-okno-vozmozhnostei (accessed 25.06.2021).
9. The bond market as a means of attracting investments for business. The Growth Sector of the Moscow Stock Exchange. October 2019, Moscow Stock Exchange. Available at: https://jus-cogens.ru/wp-content/uploads/2019/10/Костылев-МА-Сектор-Роста-октябрь-2019.pdf (accessed 25.06.2021).
10. Is your business modelstable enough to withstand any storm? Global IPO Trends: Q 4 2020, Ernst & Young (Research Report).Available at: https://assets.ey.com/content/dam/ey-sites/ey-com/en_gl/topics/growth/ey-global-ipo-trends-2020-q4.pdf (accessed 25.06.2021).
11. JOBS Act (the Jumpstart our Business Startups Act) in Congress assembled (April 5,2012), The Senate and House of Representatives of the United States of America Public Law. Available at: https://www.congress.gov/112/plaws/publ106/PLAW-112publ106.pdf?__cf_chl_jschl_tk__=pmd_ojk2o.n4skLn0gDAHgylsEt7Nig7mKGgGVD.RGAQJ98-1635157255-0-gqNtZGzNAnujcnBszRJ9 (accessed 25.06.2021).
12. NewConnect 2.0 is a new stage in the development of an alternative trading system (PBX), Stock World (News Agency). Available at: https://www.stockworld.com.ua/ru/news/vfb-pieriezapustila-new-connect (accessed 25.06.2021).
13. New Connect Main Statistica as of June 2021, New Connect. Available at: https://newconnect.pl/newconnect-главная-статистика (accessed 25.06.2021).
Review
For citations:
Gluhov K.V., Shipilova M.V. Use of stock market instruments as a way to support small and medium-sized businesses during economic crises. Vestnik Universiteta. 2021;(10):139-146. (In Russ.) https://doi.org/10.26425/1816-4277-2021-10-139-146
Views:
917
Email this article 