Developing a Conceptual Model for Analyzing and Forecasting Financial Performance of Small and Medium-Sized Businesses

Abstract

Focusing on the trajectory of sustainable economic development requires structuring of the system of financial indicators so as to forecast and evaluate the effectiveness of businesses in the context of global challenges and an unstable internal and external environment. Small and medium-sized enterprises participating in investment projects are the basis for stable business growth and formation of the middle class. However, to forecast the financial results of start-up small and medium-sized businesses is rather difficult due to the lack of financial indicators in the planning period because of the short time of their activity, which requires development and methodological substantiation of the conceptual financial and mathematical model based on an optimization algorithm for assessing the performance of enterprises in the context of their division into start-up and operating small and medium-sized businesses.