Socio–economic role of the small and medium business sector in the country's economy: the current state and development

The subject of research. The development of small and medium enterprises is one of the necessary
conditions for the democratization of society, the formation of a strong middle class, as well as one of
the main components of guaranteeing the social security of the state and its citizens.
Entrepreneurial activity of the population in the vast majority of cases is accompanied by the
creation of small and medium–sized businesses, and the formation of a large enterprise begins with
the establishment of a business entity.
The purpose of the study. The main mission of creating a business in small and medium
enterprises is to form a stable middle class in the form of business owners and general managers.
This is actually the formation of the nation’s intellectual elite, and this is the basis for the formation of
the financial elite.
Results of work. Small and medium business is a socio–economic foundation for the development
of innovation–oriented, and especially European countries.
Small and medium–sized businesses largely determine the rate of economic growth, structure and
quality of gross domestic product (GDP). Its main function, in addition to economic, which plays an
important role – is social.
Conclusions. Therefore, issues related to the socio–economic role of the small and medium business
sector in the country’s economy, and especially the study of the current state and development of
small and medium enterprises are relevant today.
Therefore, in order for the country to achieve significant success in economic progress, it is necessary
to create conditions for the development of small and medium–sized businesses in Ukraine.