Financial Performance of Small and Medium-Sized Enterprises in the Slovak Republic

Abstract

Small and medium-sized enterprises are considered to be the most flexible, efficient and most advanced forms of enterprise within developed economies. They are characterized by high dynamics of development, adaptability to changing market requirements, flexibility and narrow specialization. They quickly adapt and respond sensitively to the change. Small and medium-sized enterprises can be considered to be holders of innovation, employment, social and regional integration. They guarantee higher efficiency and sustainable growth of the country's economy. For this reason, the countries devote maximum attention to the state of small and medium-sized enterprises and are constantly taking measures for their development. In Slovakia, more than 90% of all businesses are small and medium-sized enterprises. The aim of the paper is to evaluate the development of small and medium enterprises in the Slovak Republic and to assess their financial performance using financial analysis indicators.