Financial relations of organizations (enterprises). Finance functions

- a specific sphere of economic relations determined by the movement of money. They are based on the processes occurring as a result of the creation, distribution, exchange and use of national income.

The movement of income of organizations is accompanied by the formation of their financial relations with other economic entities.

Types of financial relations by area

Everything can be grouped into four groups:

with other enterprises and organizations;
within the enterprise;
within associations of enterprises and organizations;
with the financial and credit system of the state.

Financial relations with other enterprises and organizations

Include relationships with suppliers, buyers, construction, installation and transport organizations, post and telegraph, foreign trade and other organizations, customs, and foreign companies. This is the largest group in terms of cash payments. The relations of enterprises with each other are connected with the sale of finished products and the acquisition of material assets for economic activity. The role of this group is primary, since it is in the sphere of material production that enterprises are created, receive and.

financial relations between the founders at the time of creation of the organization during formation authorized capital, as well as when distributing dividends;

financial relations between organizations in the process of production and sales of products, creating added value; these are primarily financial relations between suppliers and consumers;

Financial relations within the enterprise

Includes relationships between branches, workshops, departments, teams, etc., as well as relationships with employees and owners. Relations between divisions of the enterprise are associated with payment for work and services, distribution of profits, working capital, etc. Their role is to establish certain incentives and financial responsibility for the high-quality fulfillment of accepted obligations. Their volume is determined by the degree of financial independence of structural divisions. Relations with workers and employees include payments, benefits, financial assistance, as well as the collection of money for damage caused and the withholding of taxes.

financial relations between the organization and the personnel employed in it in the form of wages, bonuses, and the provision of social benefits;

Financial relations within associations of enterprises and organizations

Financial relations within associations of enterprises and organizations are the relations of enterprises with a parent organization, within, as well as.

Financial relations of enterprises with higher organizations constitute relations regarding the formation and use of centralized monetary funds, which in conditions of market relations are an objective necessity. This is especially true for financing investments, replenishing working capital, financing import operations, scientific research, including marketing ones. Intra-industry redistribution of funds, as a rule, on a repayable basis, plays an important role in financial management and contributes to the optimization of enterprise funds.

financial relations between an organization and its divisions when distributing resources, as well as between organizations within a financial and industrial group, holding, union or association of which the organization is a member; such relationships are usually associated with internal redistribution of funds or financing of corporate events;

Relations with the financial and credit system of the state

Relations with the financial and credit system of the state are diverse. This system includes the following links: budget, credit, insurance, and the stock market.

Relationship with budgets various levels and with extra-budgetary funds are associated with transfers and deductions.

Financial relations of enterprises with banks are built in relation to both the storage of funds in banks, the organization of non-cash payments, and the receipt and repayment of short-term and long-term loans. The organization of non-cash payments has a direct impact on the financial position of enterprises. is a source of formation, expansion of production, its rhythm, improvement, and helps eliminate temporary financial difficulties of enterprises.

Banks currently provide enterprises with a number of so-called non-traditional services: trust. At the same time, there may be independent companies specializing in performing these functions, with which enterprises have direct relationships, bypassing the bank.

Financial relations of enterprises with the stock market assume .

financial relations between the organization and the financial system of the state when withdrawing part of the primary income in the form of taxes and fees, as well as when receiving allocations from the budget;

financial relations between an organization and other participants in the financial system. Relationships with banks arise when organizing non-cash payments, obtaining and repaying short-term and long-term loans, as well as receiving banking services. Relations with the insurance component of the financial system occur in the insurance of property, commercial and entrepreneurial risks, and compulsory insurance of employees. Relations with stock market participants - when placing temporarily free funds in securities, as well as carrying out privatization.

Types of financial relations by degree of obligation

From a mandatory point of view, all financial relations of an organization should be classified into:

voluntary;
voluntary-compulsory;
forced.

TO voluntary include financial relations between the founders at the time of creation of the organization, between organizations in the process of production and sales of products, between the organization and personnel regarding consumption, during the distribution of resources within the organization, between the organization and stock market participants.

TO voluntary-compulsory financial relationships - relationships into which organizations enter voluntarily, and then are forced to fulfill accepted obligations or conditions for forming relationships with other legal entities. An example of such relations can be financial relations within a group, holding, association, union, since they are regulated by internal documents adopted voluntarily. Such relations also include financial relations when organizing interaction with counterparties (suppliers and contractors), the terms of which are reflected in contractual obligations. In market conditions, the choice of a counterparty and the legal norms of interaction with it are carried out voluntarily, but sanctions for violation of voluntarily accepted contractual obligations are already of a compulsory nature. The implementation of responsibility for obligations is expressed in the payment of fines and penalties for violation of the terms of contracts, compensation by personnel for material damage caused by their actions.

Forced financial relations of an organization arise when fulfilling tax obligations, conducting (settlements between legal entities in cash are limited), compulsory insurance of professional liability (for example, in auditing and construction activities), compulsory insurance of certain categories of employees or property determined by state legal acts. Open joint stock companies are required to enter into relationships with participants and organizers of the stock market.

Each of the listed groups of financial relations has its own characteristics and scope of application. However, they are all bilateral in nature and their material basis is the organization’s income.

Enterprise finance is a set of monetary relations that arise among business entities regarding the formation of funds of funds, their distribution and use for the needs of production and consumption. It is in this area that the bulk of income is formed, which is redistributed in society and becomes the basis economic growth and social development of the country.

The functions of enterprise finance are implemented at the level of microeconomics; they are directly related to the formation of the enterprise's cash funds.

In terms of its economic content, the entire set of financial relations of enterprises can be systematized in the following areas (Fig. 16):
1. Formation of the authorized capital of the company. Specific methods for forming authorized capital depend on the organizational and legal form of the business entity. Authorized capital is the main source of formation production assets, acquisition of intangible assets.
2. Production and sale of products, the emergence of newly created value. These include monetary relations between supplier and buyer, customer and contractor, etc.
3. Capital financing. Such relationships arise between commercial enterprises and organizations during the issue and placement of securities, mutual lending, and equity participation in the creation of joint ventures.
4. Intra-company financial relations. They arise between a business entity and its divisions, a higher organization, unions, associations of which they are members, when fulfilling mutual financial obligations.
5. Financial relations with the state. They arise between an economic entity and the financial system of the state when paying taxes and other payments to the budget, forming extra-budgetary funds, receiving allocations from the budget, providing tax benefits, and applying penalties.
6. Financial relations with the banking system. They arise between commercial enterprises and the banking system in the process of storing money in banks, receiving and repaying loans, paying interest on loans, and providing banking services.
7. Financial relations with insurance companies. They arise between business entities and insurance companies when insuring property, certain categories of workers, business and commercial risks.

Principles of financial organization
Financial relations commercial organizations and enterprises are built on certain principles related to the fundamentals of economic activity.

The principle of economic independence - the enterprise independently determines its expenses, sources of financing, directions for investing funds in order to make a profit. The state regulates only certain aspects financial activities enterprises, such as tax rates, the procedure for paying taxes, as well as certain accounting standards (depreciation rates, the procedure for accounting for inventories, etc., as well as the procedure and form of financial reporting of the enterprise).

The principle of self-financing means full recoupment of the costs of production and sales of products, investment and development of production at the expense of one’s own funds and, if necessary, bank and commercial loans on the terms of payment, urgency, and repayment. The implementation of this principle is one of the main conditions for the competitiveness of a company. The principle of self-financing is based on the economic efficiency of the enterprise.

The principle of material interest - interest in the positive results of economic activity is equally inherent in the owners of the enterprise, managers, individual employees and the state as a whole. The implementation of this principle can be ensured by decent wages, optimal tax policy of the state, compliance with economically justified proportions in distribution net profit for consumption, accumulation and other purposes.

The principle of financial responsibility means the presence of a certain system of responsibility for the results of financial and economic activities. In general, for an enterprise, this principle is implemented through penalties, penalties, and fines levied in case of violation of contractual obligations, failure to repay short-term and long-term loans on time, repayment of bills, violation of tax laws, as well as in the case of a bankruptcy system applied to a given business entity.

The principle of ensuring financial reserves is implemented through the need to form financial reserves and funds in the course of business activities, which are always associated with risk. The main financial reserves created by the enterprise: statutory reserves; reserves for future expenses; estimated reserves.

The principle of financial control: the activities of the enterprise as a whole and its individual divisions are subject to control. Internal control is carried out by the accounting service, as well as the internal audit service of the enterprise. External control, as a rule, is carried out by independent audit firms to verify the reliability of the financial statements of the enterprise.

Financial relations of enterprises - a system of relationships with government bodies, the tax system, budgets, banks and other credit institutions, insurance companies and so on, as well as monetary relations expressing the formation and use of monetary funds in the process of circulation of enterprise resources, the formation of its cash income and savings .

Financial relations are divided into internal and external.

Internal financial relations:

- formation of the authorized capital of business entities;
-formation and distribution of cash income: revenue, gross and net income, profit, funds of the enterprise;
- relations with employees regarding payment of wages.
-financial relations with its own structural divisions
-relations within production associations and relations of the enterprise with its subsidiaries.

External financial relations

relations with other business entities in the process of generating and distributing revenue (intangible relations);

- fines, penalties, penalties; - rental relations;
- issue and sale of securities;
- Team work;
- commercial lending;

The organization of finances of business entities is carried out on the basis of a number of principles that meet market conditions essence of business activity:

Economic independence. The implementation of this principle is ensured by the fact that an economic entity, regardless of its form of ownership, independently determines the directions of its expenses and the sources of their financing, guided by the desire to maximize profits.

Self-financing. This principle means full recoupment of the costs of production and sales of products, investing in the development of production at the expense of one’s own funds and, if necessary, bank and commercial loans. The implementation of this principle is one of the main conditions for entrepreneurial activity, ensuring the competitiveness of the enterprise.

Material liability. It means the presence of a certain system of responsibility for the conduct and results of business activities. Financial methods for implementing this principle are different for individual enterprises, their managers and employees of the enterprise.

Material interest. This principle is objectively predetermined by the main goal of entrepreneurial activity - making a profit.

Ensuring financial reserves. This principle is associated with the need to form financial reserves to support entrepreneurial activity.

The principle of financial control. The implementation of this principle at the enterprise level provides for such an organization of finances that provides the possibility of implementing intra-company financial control on the basis of internal analysis and audit.

Thus, the finances of organizations are the main link of the financial system. Enterprise finance is a set of monetary or financial relations that arise among business entities regarding the formation of actual and (or) potential funds of funds, their distribution and use for the needs of production and consumption.

All principles of organizing the finances of economic entities are in development and for their implementation in each specific economic situation, their own forms and methods are used, corresponding to the level of development of productive forces and production relations.

In modern economic conditions, commercial banks are becoming an important element of the market infrastructure.

Since commercial banks are created and operate in the form of limited liability partnerships or joint stock companies, their activities are possible only if they receive their own profit. Thus, the relationship between enterprises and banks is built taking into account mutual interests and should benefit both parties.

Relations between the organization and the bank arise regarding settlement, cash and credit services, as well as in connection with the emergence of new services characteristic of market economy. An important feature of these relations is their contractual nature. The initiative to conclude agreements comes from the enterprise, which independently selects a bank for its settlement, cash and credit services.

For settlement services, the company enters into a bank account agreement with the bank, which is necessary for organizing non-cash payments. In accordance with the agreement, the bank opens current and other accounts for the enterprise as a client, credits them with funds received both from the enterprise and to the enterprise, and debits amounts from the enterprise's account on its instructions to the accounts of suppliers, creditors, relevant budgetary and extra-budgetary funds. In addition, the bank undertakes to accept cash from the client company and issue it or on its instructions, and pay interest for storing money in accounts.

The main account of an enterprise as a legal entity is a current account. An enterprise has the right to open several current accounts in different banks. The proceeds from the sale of products (works, services) are credited to the current account, and settlements are made on the obligations of the enterprise. The organization has the right to open other accounts - current, loan, foreign currency - in any quantity in different banks. A settlement sub-account is opened for an enterprise that has separate structural divisions outside its location. At their location, bank accounts are opened in the name of the enterprise. Since the settlement subaccount has an auxiliary meaning, revenue from the division is accumulated on it for subsequent transfer to the main settlement account of the enterprise.

Current accounts are opened for branches, departments and other non-self-supporting divisions of the enterprise. They carry out limited settlement transactions related mainly to wages and administrative expenses.

When you open a current foreign currency account at a bank, a transit foreign currency account is automatically opened, into which foreign currency transfers from the foreign economic activities of the enterprise are received. After selling part of the foreign currency proceeds, the balance of foreign currency funds is transferred to the current account.

In the process of settlement and cash services, certain financial relations develop between the enterprise and the bank, accompanied by the movement of funds and affecting the formation of income of the enterprise and the bank.

Many banks charge fees for processing customer accounts and conducting settlement and cash transactions to recoup the costs of conducting them. Others, to attract clients, open current accounts for free. Each bank pays a certain fee to the latter for storing the funds of enterprises (with the exception of a transit currency account). The amount of the fee is set by mutual agreement if we are talking about a current account. The company places temporarily available funds into time deposit accounts on the terms of the bank, which sets interest on deposits depending on the period of storage of the money.

The organization's expenses for paying for bank services are included in the cost of products (work, services), income received from storing funds in bank accounts is taken into account as part of the enterprise's balance sheet profit as non-operating income. Banks do not have the right to control an enterprise’s settlements with the budget, other enterprises, or other non-cash payments, although they are carried out in established forms. However, the bank bears a certain responsibility for compliance with the rules of settlement discipline, which is established by regulations of the Central Bank of the Russian Federation and is determined by agreements between the enterprise and the commercial bank. For untimely or incorrect debiting of funds from the accounts of the enterprise, as well as for untimely or incorrect crediting of funds received by the enterprise, it has the right to demand that the bank pay a fine in its favor in the amount of 0.5% of these amounts for each day of delay. The agreement between the bank and the enterprise may also provide for other (additional) forms of liability.

The responsibility of enterprises to the bank is established in bank account and deposit agreements, and loan agreements.

Note that the role of credit in ensuring the normal functioning of an enterprise in modern conditions certainly important.

Bank loans are the most important source of collateral financial resources the needs of enterprises related to the production and sale of products. Temporary need for funds especially often arises in enterprises where there are seasonal fluctuations in production and sales volumes. But it can arise as a result of a temporary gap between the receipt of sources of certain types of costs and the need for funds for this purpose, for example, for repair work. Associations and industrial enterprises operating in self-financing conditions are credited based on the totality of material inventories and production costs.

The general principle of checking loan collateral is as follows. The actual debt is compared with the amount of the excess paid balance of inventories of valuables and production costs within the plan and goods shipped in the amount of their balance on the balance sheet.

In practice, checking the security of a bank institution is carried out simultaneously based on the totality of inventories and costs and goods shipped. If the debt exceeds the planned amount of the loan, the bank institution, together with the enterprise, considers the reasons that caused the excess need for a loan.

A decision may be made to provide a loan for temporary needs for the full or partial amount of excess inventory and production costs, as well as goods shipped. If these measures make it possible to bring the debt to the planned period, then the bank institution can provide a loan for temporary needs.

If it is impossible to bring the loan debt to the planned level within the established time frame, as well as in the event of overdue debt on bank loans, a lending limitation is introduced within the planned loan amount.

If the planned loan amount is exceeded due to the above-plan growth of goods shipped, the payment terms of which have not yet arrived, they are accepted for lending without restrictions on the amount and period. In this case, the bank does not apply sanctions.

When checking, balances of work in progress, finished products and goods shipped are accepted for credit at actual cost, but not higher than planned, and all other inventories and costs - according to balance sheet valuation. The cost of inventories is reduced by the amount of depreciation of valuables, a reserve to cover future expenses or losses, as well as trade discounts if goods are recorded on the balance sheet at retail or wholesale prices.

The bank can provide loans for expenses in fixed assets if the enterprise lacks incentive funds. Analysis of the relationship between an enterprise and a bank on such loans consists of checking the intended use of loans and the effectiveness of activities carried out using them.

Lending is a method of repayable financing of an enterprise. It is a traditional banking service. An enterprise has the right to receive a loan both from the bank where its current account is opened and from any other bank. Lending is carried out on the basis of a loan agreement, which defines the rights and obligations of the parties, as well as liability for violation of the terms of the agreement, taking into account the nature of the loan provided and the financial condition of the borrower enterprise.

Depending on the nature of the enterprise's needs for borrowed funds, there are short-term loans (up to a year), medium-term loans (from one to three years) and long-term loans (over three years).

For the use of a loan, which must be repaid within the period established by the agreement, the company pays interest to the bank. Interest rates depend on the period of use of borrowed capital, taking into account supply and demand. Interest rates may vary from bank to bank.

The practice of Russian banks in the field of lending indicates that their activity in this area almost entirely consists of short-term loans concentrated in the field of trade and purchasing business. Basically, borrowed funds are aimed at intermediary operations, which are characterized by rapid turnover of funds and high profits.

Since banks provide lending on a commercial basis, the principles of lending are the security of the loan, targeted nature, urgency, payment and repayment of the loan. In this case, this determines preferences specific types credit operations and their overwhelming numerical superiority. Relations with the financial and credit system are diverse. First of all, these are relations with budgets of various levels and extra-budgetary funds associated with the transfer of taxes and deductions. Tax system Russia is imperfect and does not contribute to normal production activities. World experience shows that it is possible to reduce high inflation rates only through supporting production and developing investment. Tax, as well as credit and customs policies should be aimed mainly at this. In particular, in many countries some or all of the increase in production is not subject to taxes. This is beneficial for both the enterprise and the state, since taxes from such enterprises are received in full, and after a year they increase sharply.

Relations with the insurance sector of the financial system consist of transfers of funds for social and medical insurance, as well as insurance of enterprise property.

Financial relations of enterprises with banks are built both in terms of organizing non-cash payments and when receiving and repaying short-term and long-term loans. The organization of non-cash payments has a direct impact on the financial position of enterprises. Credit is a source of formation of working capital, expansion of production, its rhythm, improvement of product quality, and helps eliminate temporary financial difficulties of enterprises.

Currently, there are a number of problems in the relations of enterprises with banks. The practice of non-cash payments is primitive: prepayment, barter, cash, large non-payments. Credit is very expensive, so its share in the formation of working capital of enterprises is very low (on average no more than 10%). Long-term loans for financing investments are practically not used. Non-traditional banking services have also not received development.

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Plan

Introduction

Chapter 1. Theoretical foundations of finance

1.1 Essence, structure and functions of finance

1.2 Subjects of financial relations

Chapter 2. Analysis of the organization of finances and financial relations of an enterprise (On the example of OJSC "USTA")

2.1 OJSC "Usta"

2.2 Analysis of financial relations and commercial connections of Usta OJSC

Chapter 3. Ways to improve the management of financial resources and financial relations in an organization

Conclusion

List of used literature

Introduction

A market economy involves the formation and development of enterprises of various organizational and legal forms based on different types private property, the emergence of new owners - how individual citizens, so labor collectives enterprises. A type of economic activity has emerged called entrepreneurship - this is an economic activity, i.e. activities related to the production and sale of products, performance of work, provision of services or sale of goods needed by the consumer. It is regular in nature and is distinguished, firstly, by freedom in choosing directions and methods of activity, independence in decision-making (of course, within the framework of laws and moral norms), and secondly, by responsibility for decisions made and their consequences. Thirdly, this type of activity does not exclude risk, losses and bankruptcies. Finally, entrepreneurship is clearly focused on making a profit, which, in conditions of developed competition, ensures the satisfaction of social needs. This is the most important prerequisite and reason for interest in the results of financial and economic activities. The implementation of this principle in reality depends not only on the independence granted to enterprises and the need to finance their expenses without state support, but also from the share of profit that remains at the disposal of the enterprise after paying taxes. In addition, it is necessary to create an economic environment in which it is profitable to produce goods, make a profit, and reduce costs.

Enterprise finance is an economic category, the peculiarity of which lies in the scope of its action and its inherent functions. In social reproduction, enterprise finance expresses distribution relations. However, their effect is not limited only to the distribution sphere. Expressing distribution relations, finance is involved in all stages of the reproduction process, although its participation at different stages of this process is not the same: it is equivalent to the share of distribution in each phase, since distribution takes place at the production stage, and at the exchange stage, and at the consumption stage. Without the participation of finance, the circulation of social production assets as a whole cannot take place.

Since enterprise finance as a relationship is part of the economic relations that arise in the process of economic activity, the principles of their organization are determined by the fundamentals of the economic activity of enterprises. Based on this, the principles of financial organization can be formulated as follows: independence in the field of financial activities, self-financing, interest in the results of financial and economic activities, responsibility for their results, control over the financial and economic activities of the enterprise.

The economic activities of an enterprise are inextricably linked with its financial activities. The enterprise independently finances all areas of its expenses in accordance with production plans, investing them in production in order to make a profit

Relevance of the topic. Financial relations of an enterprise arise when, on a monetary basis, the formation of the enterprise’s own funds, its income, the attraction of borrowed sources of financing economic activities, the distribution of income generated as a result of these activities, and their use for the development of the enterprise.

The purpose of the course work is to do general review financial relations of enterprises, consider the basic principles of their organization.

Job objectives:

· Consider the theoretical foundations of finance;

· Conduct an analysis of the organization of finances and financial relations of the enterprise (using the example of OJSC “Usta”)

· Identify ways to improve the management of financial resources and financial relationships in the organization.

Work structure. Course work consists of an introduction, three chapters, a conclusion and a list of references.

Chapter 1. Ttheoretical foundations of finance

1.1 Essence, structure and functions of finance

The term "finance" (from the Latin word "financia") arose in the 13th - 15th centuries. in the trading cities of Italy and at first denoted any monetary payment Financial management: theory and practice. Textbook / Ed. E.S. Stoyanova. - 5th ed., revised. and additional - M.: Perspektiva Publishing House, 2008 - 656 pp..

Further, the term gained international distribution and began to be used as a concept associated with the system of monetary relations between the population and the state regarding the formation of state funds of funds.

This term reflected, firstly, monetary relations between two entities, i.e. money acted as the material basis for the existence and functioning of finance.

Secondly, the subjects had different rights in the process of these relations: one of them (the state) had special powers.

Thirdly, in the process of these relations, a national fund of funds was formed - the budget, i.e. these relations were of a stock nature.

Fourthly, the regular flow of funds into the budget could not be ensured without giving taxes, fees and other payments a state-compulsory nature, which was achieved through the legal rule-making activities of the state and the creation of an appropriate fiscal apparatus.

Finance is a set of monetary relations organized by the state, during which the formation and use of national funds of funds is carried out for the implementation of economic, social and political tasks.

Finance is understood as an economic category that reflects the level of economic relations between the seller and the buyer regarding funds and investment values.

Prerequisites for the emergence of finances Stoyanova E.S. Financial management: theory and practice / Stoyanova E.S. - Moscow: Perspective, 2008. - 119 p.:

1. In Central Europe, as a result of the first bourgeois revolutions, the power of monarchs was significantly reduced, and the monarch was separated from the treasury. A national fund of funds arose - a budget that the head of state could not use individually.

2. The formation and use of the budget has become systematic, i.e. systems of state revenues and expenditures with a certain composition, structure and legislative support arose. Even then, 4 areas of spending were identified: for military purposes, management, economics and social needs.

3. Taxes in cash acquired a predominant character, whereas previously state revenues were formed mainly through taxes in kind and labor duties.

The development of finance and financial relations is inextricably linked with the development and formation of states. After all, finance is a relationship of accumulation and distribution and subsequent redistribution of national wealth, and redistribution is necessary precisely for the implementation of the functions of the state. With the widespread development of market relations, financial relations become more diverse. In particular, their only connection with the treasury and the whims of the monarch, king or shah is eliminated. Monetary relations are developing and improving, some in-kind duties and dues are being replaced by a more progressive form of taxation - cash.

The functions of the state are being improved and developed: in addition to maintaining the court and court households, as well as the army and police, the state becomes an active conductor of the economic interests of large traders and manufacturers, financing colonial conquests and protectionist policies. The control function of finance appears and develops: one of the slogans of the American Revolution, “No taxation without a representative,” is well known, which is associated with the desire of residents of the United States - then subject to Great Britain - to participate in determining the directions and volumes of spending tax revenues in the budget. At the same time, the institution of interpolations developed - questions asked to a representative of the executive branch in parliament.

The further development of financial relations is associated with the democratization of society. In most states, parliamentary (representative) power is being strengthened, a policy of social stability is emerging, which implies the need to redistribute funds in favor of the poorest strata, establish social guarantees in the form of benefits and pensions (Bismarck was the founder of pensions and social security in general), and introduce special government programs for social protection and support (medicine, education, employment, etc.).

The 20th century brought particularly rapid transformations in this area; During the first third, the totality of various financial relations develops into the financial system in the form in which it exists to this day.

Thus, the improvement of finance is inextricably linked with the development of society: the more complex and higher the level of relations between people, the more perfect the structure of finance. They are therefore generally inseparable from man, since they represent the distribution and redistribution of wealth created by man.

The essence of finance is contained in the totality of monetary relations organized by the state, during which the formation and use of funds of funds is carried out. Finance is one of the most important tools for indirect influence on the reproduction of material goods, labor and production relations.

The economic essence of finance lies in the study of what items of income the state receives financial resources from and in whose interests it uses these funds.

The function of finance is distribution and control; it also carries out the function of generating cash income.

With the help of finance, the state carries out the distribution function of finance, namely the distribution of the social product not only in physical form, but also by value N.V. Kolchina. Enterprise finance. - M.: Finance, UNITY, 2009..

The control function of finance is, first of all, control of currency in the process of objectively existing monetary relations. Finance exercises control at all stages of the creation, distribution and use of the social product and national income. Their control function is manifested in all economic activities of enterprises.

The function of generating cash income is formed between the production and non-production spheres of the national economy, sectors of material production, individual regions of the country, forms of ownership and social groups of the population.

Thus, finance is a system of economic relations through which the formation and implementation of decentralized and centralized funds is carried out in order to fulfill the tasks and functions of the country and ensure the criteria for expanded reproduction.

1.2 Subjects of financial relations

Financial relations are economic relations between entities that are associated with the formation, distribution and use of funds in order to meet the needs of the state, enterprises (organizations, institutions) and citizens. The nature and content of financial relations are determined by the nature of monetary relations.

Characteristic features of financial relations are Lytnev O.N. Financial resources of the enterprise. Moscow, 2008. - 230s.:

Financial relations act as a form of economic basis; they have an exchange-distribution basis, i.e. derivative nature in relation to GDP;

The monetary form of relations - the functioning of finance is determined by the movement of cash flows, as a result of which subjects have incoming and outgoing flows that mediate the movement of value from one subject to another;

Formation of centralized and decentralized funds of financial resources, receipt of income and expenses. In a broad sense, income refers to all receipts that ensure the growth of economic benefits of entities and the financing of their expenses. In a narrow sense - only that part of revenues that reflects the increase in value.

Equivalence of exchange and distribution relations and non-equivalence of redistribution relations.

When creating, operating and liquidating, business entities enter into various financial relationships, taking into account the specifics of their organizational and legal status.

Economic cooperation between states presupposes the existence of international financial relations. Behind last years Interstate financial, credit, settlement and currency relations have expanded significantly. Being one of the forms of economic, scientific, technical and cultural cooperation between states, these relations at the same time have specific features. Taking into account these features allows us to combine these relations into one group of international financial relations. The dynamic development of international financial relations has led to the creation of international financial organizations and the formation of world financial centers.

Financial relations of enterprises consist of four groups:

1) with other enterprises and organizations;

2) within enterprises;

3) within unions that include relationships:

With a higher organization;

Within financial and industrial groups;

Inside the holding;

4) with the financial and credit system:

Budget;

Extra-budgetary funds;

Exchanges;

Various funds.

Financial relations with other enterprises and organizations include relations with suppliers, buyers, construction, installation and transport organizations, post and telegraph, foreign trade and other organizations, customs, enterprises, organizations and foreign firms.

Financial relations within an enterprise include relations between branches, workshops, departments, teams, etc., as well as relations with workers and employees. Relations between divisions of an enterprise are related to payment for work and services, distribution of profits, working capital, etc.

Financial relations of enterprises with higher organizations include relations regarding the formation and use of centralized funds, which in conditions of market relations are an objective necessity. This is especially true for financing investments, replenishing working capital, financing import operations, scientific research, including marketing.

Relations with the financial and credit system. First of all, these include relations with budgets of various levels and extra-budgetary funds associated with the transfer of taxes and deductions.

From the point of view of obligation, all financial relations of the organization should be classified into Krutik A.B., Khaikin M.M. Fundamentals of financial activity of an enterprise: Tutorial- 2nd ed., revised. and additional - St. Petersburg: Business press, 2008. - 448 p.:

· voluntary;

· voluntary-compulsory;

· forced.

Voluntary include financial relations between the founders at the time of creation of the organization, between organizations in the process of production and sales of products, between the organization and personnel regarding consumption labor resources, when distributing resources within the organization, between the organization and stock market participants.

Voluntary-compulsory financial relations are relations into which organizations enter voluntarily, and then are forced to fulfill accepted obligations or conditions for the formation of relations with other legal entities. An example of such relations can be financial relations within a group, holding, association, union, since they are regulated by internal documents adopted voluntarily. Such relations also include financial relations when organizing interaction with counterparties (suppliers and contractors), the terms of which are reflected in contractual obligations. In market conditions, the choice of a counterparty and the legal norms of interaction with it are carried out voluntarily, but sanctions for violation of voluntarily accepted contractual obligations are already of a compulsory nature. The implementation of responsibility for obligations is expressed in the payment of fines and penalties for violation of the terms of contracts, compensation by personnel for material damage caused by their actions.

Compulsory financial relations of an organization arise when fulfilling tax obligations, conducting non-cash payments (settlements between legal entities in cash are limited), compulsory professional liability insurance (for example, in auditing and construction activities), compulsory insurance of certain categories of employees or property defined by state legal acts. Open joint stock companies are required to enter into relationships with participants and organizers of the stock market.

During the functioning of the finances of economic entities, appropriate economic relations and interrelations are established. The characteristics of financial relations in an enterprise are associated with the identification of their objects and subjects.

The object of financial relations in an enterprise is the cost of manufactured products, work performed, services provided, which form revenue, and in the process of distribution, consumption funds, cost recovery and profit.

The subjects of financial relations are traditionally divided into three main subjects: households, organizations and the state. When defining the main subjects of the economy, different terms and synonyms are used, they are called differently. This variety of terms is explained by many reasons: the specifics of national legislation, various state structure of one country or another. Organizations may be called “firms,” “enterprises,” or “corporations.”

Households are individuals and entire families. Households play a very important role in the economy - for the implementation of production process they provide the resources they own - labor, land, capital; with the financial resources obtained as a result, they buy goods and services for personal consumption; part of household resources takes the form of savings; these savings are an important investment resource. Some citizens are engaged in entrepreneurial activities without forming a legal entity; they are included in the reproduction process, producing goods, works, and services. This allows households to generate additional business income.

Households are the main supplier of labor to all businesses and state enterprises, organizations, and institutions. These entities can create credit, currency and other financial relations with business and government entities. For carrying out labor activities, these subjects receive a salary and, upon leaving working age, a pension. In addition, households create conditions for the modernization of existing elements in the structure of the country’s finances and financial relations (society development, elections, referendums, etc.).

Organizations are direct participants in social reproduction; they produce goods and provide various types of services. To carry out their activities, they need financial resources that would provide the production process with the necessary amount of money. Organizations will be characterized by such financial relations that will ensure the continuity of the process of production of goods and provision of services: making capital investments, calculating depreciation charges, replenishing the lack of working capital, etc.

Enterprises, as one of the subjects of finance, create a large part of the country's GDP and national wealth, and increase the level of employment of the population (wages for households). Enterprises of various forms of ownership and sectors of the national economy form the industrial and financial “backbone” of the entire financial system of the country and one of the constituent elements of the financial system of the world, since many enterprises carry out foreign economic activity. For efficient work enterprise, the management of this business entity needs to have financial relations with many subjects of the country’s financial market. For example, an enterprise must have a bank account, make contributions to the Pension Fund and other social funds, pay tax contributions to local budgets and the state budget, enter into insurance contracts under various contract conditions, etc.

Joint-stock companies, when using securities as an element of the Stock market, establish relationships through the system of issuing and selling securities on the market with other entities. Enterprises interact through financial mechanisms with each other, as they can exist in the form of suppliers, intermediaries, end consumers and other counterparties. Small businesses can take an active part in financial relationships with many enterprises in the country and other economic and business entities.

The state is a multifaceted concept. In a broad sense, the state is understood as a political form of organizing the life of society; Since the state is built on a territorial principle, this term is sometimes inaccurately used as a synonym for the concept of “country”. The state manages society, protects its economic and social structure, and performs its functions through government bodies.

The state, as a subject of financial relations, plays a role in creating a regulatory framework for financial relations, as well as state-owned enterprises, institutions and organizations perform financial functions on an equal basis with other participants in the country’s financial system.

The state creates conditions for the formation of financial relations with all subjects of the country’s financial system (salaries of government employees, tax revenues, government orders to enterprises, etc.). The country's financial entities, in particular the state, create conditions for optimizing the financial system in accordance with current trends in the financial markets (foreign exchange market, stock market, central bank market, etc.).

The state needs financial resources to fulfill the functions assigned to it - financing the constitutional rights of citizens, supporting the most important sectors of the economy, etc. And for this group of financial relations, which provide financial resources for the performance of state functions, other forms and methods of organizing their finances will be characteristic.

Moreover, all financial relations of an enterprise can be grouped into external and internal.

The scope of external financial relations of an enterprise includes relations:

· between the enterprise and the state regarding the redistribution of its own financial resources within the framework of the legislation on taxation, social insurance, the formation of national target and extra-budgetary funds; regarding the use of funds provided by state funds, the implementation of state investment programs;

· between the enterprise and its shareholders - regarding the use of profits received, accrual and payment of dividends, reinvestment of profits, directions of capital investment

· between the enterprise and its suppliers and customers regarding the implementation of business contracts, receipt of revenue, payment settlements, etc.;

· between the enterprise and financial institutions regarding the servicing of their payments, receipt and return of loans, payment of interest for their use, depository activities, insurance payments

The system of internal relations of the enterprise includes the following relations:

· between the enterprise and its founders (owners) regarding the formation of the authorized capital, its use, receipt of part of the profit on the invested capital, directions of production investments of financial resources;

· between the enterprise and its structural subdivisions regarding the distribution of financial resources;

· within the enterprise itself - regarding the distribution of profits that remain at its disposal, the directions of its use;

· between the enterprise and its employees regarding the formation of the wage fund, material incentives and incentives, the use of part of the financial resources for the payment of material assistance, financing of socio-cultural events, etc.

Entrepreneurial activity, in its content, includes the production and sale of products, performance of work, provision of services, operations on the stock market. In the process of entrepreneurial activity, enterprises and organizations experience economic connections with counterparties: suppliers, buyers, partners, as a result of which financial relations arise regarding the formation and use of funds of funds.

Chapter 2. Aanalysis of financial organizationand financial relations of the enterprise(Nand exampleJSC "USTA")

2.1 JSC "Usta"

The Tokmak plant OJSC "Usta" was founded in 1987. In 1995, as a result of privatization, it was transformed into a state-owned Joint-Stock Company"Mouth".

In accordance with the Resolution of the National Commission for the Securities Market under the President of the Kyrgyz Republic (to date Government agency on financial supervision and reporting under the Government of the Kyrgyz Republic) No. 24 dated 04/05/98, the enterprise was re-registered with the Ministry of Justice of the Kyrgyz Republic No. 1271 dated 06/05/99 and received the status of a private open joint-stock company (Usta JSC). In 2004, Usta OJSC was transformed into an open joint stock company Usta.

The company has its own stone quarries, extracts and processes various types of granite and marble used in construction and finishing works. Most of the products are gray and pink granite, white marble, as well as non-metallic materials.

Currently, the following production facilities operate at Usta JSC:

Stone processing: 2 workshops for the production of facing slabs;

Nonmetallic: workshop for the production of nonmetallic building materials (crushed stone, gravel, sand, mixtures)

Consumer goods: monuments area;

Stone mining: quarry for the extraction of granite - "Kainda", marble - "Chichkan", bricks, consumables, etc.

Table 2.1Design capacity of production for processing stone and non-metallic materials of OJSCMouth» for 2012

The governing bodies of the company are: the general meeting of founders - the Supreme Management Body, the President and Director - the Executive Body, the Audit Commission (auditor) - the Control Body.

The highest governing body of the Company is the General Meeting of Founders, which has the authority to make decisions on any issues of the Company’s activities.

The following issues fall within the exclusive competence of the General Meeting of Founders of the Company:

Determination and approval of the main directions of the Company’s activities

Statement organizational structure activities of the Company

Appointment and dismissal of the President, Director and hearing of their reports, making amendments and additions to the charter of the Company, approval of annual reports and balance sheets of the Company

The executive body of the Company is the President and Director. They are appointed by the founders of the Society. The executive body resolves all issues of the Company's activities, with the exception of those falling within the competence of the General Meeting of Founders and is accountable to the General Meeting of Founders, and also organizes the execution of its decisions. At least once a year, the Executive Body reports to the founders of the Company on the results of the Company’s activities. General management and control over the financial and economic activities of the Company and the execution of tasks for the Company and personnel is carried out by the President, appointed and dismissed by the General Meeting of Founders. He acts within the limits of the rights established by the Charter and is endowed with the right to sign on all documents and the right to independently make decisions on all issues within his competence.

The President independently decides on the activities of the Company, in particular:

Manages the activities of the Company, determines its personnel, professional, entrepreneurial and creative policies;

Within the limits of the powers granted to him, he disposes of the company’s property, opens current and other accounts in credit institutions, and enters into agreements.

Society to disciplinary and material responsibility, moral and material encouragement.

The current management of the day-to-day financial and economic activities of the Company is carried out by the Director.

The competence of the director includes resolving all issues related to the management of the current activities of the Company, in particular, he manages the current activities of the Company.

2.2 Analysis of financial relations and commercial connections of Usta OJSC

The financial condition of the enterprise is characterized by a system of indicators reflecting the availability, placement, use of the enterprise's financial resources and the production and economic activities of the enterprise. The main form when analyzing financial condition is the balance sheet. The balance sheet asset makes it possible to give a general assessment of the property at the disposal of Usta OJSC, as well as to identify current (mobile) and non-current (immobilized) funds as part of the property.

Property is fixed assets, working capital and other valuables, the value of which is reflected in the balance sheet. Data from analytical calculations are given in Table 2.1. Analyzing the dynamics of the table indicators, it can be noted that the total value of the enterprise’s property increased in 2012 by 2,305,494 thousand soms, or by 54.7%, while over the previous year this figure decreased by 638,689 thousand soms, or by 13. 2%. The increase in the enterprise's property in 2012 can be characterized as negative, because their growth occurred not due to the growth of their own funds, but due to the growth of borrowed funds.

By the beginning of 2012, working capital accounted for 18.25% of the property. Over the past period, they increased by 2,538,785 thousand soms, and their share in the value of the enterprise’s assets rose to 50.7%.

Table 2.1Analysis of the property status of OJSC "Mouth" behind2011-2012

Indicators		Deviations 2011	Deviations
	To the beginning		To the beginning
1.Total property
including:
		Fixed assets
2. OS and other non-current assets. Assets
The same as a percentage of property
2.1. Intangible assets

2.2. Fixed assets
The same as a percentage of non-current assets
2.3. Construction in progress
The same as a percentage of non-current assets
2.4. Long-term financial investments
The same as a percentage of non-current assets
		Current assets
3. Working capital (mobile funds)
The same as a percentage of property
3.1. Material working capital

3.2. Cash and short-term financial investments
The same as a percentage of working capital
3.3. Accounts receivable				3.75 times
The same as a percentage of working capital
3.4. VAT on purchased assets
The same as a percentage of working capital

The same as a percentage of property

At the same time, less liquid funds - accounts receivable amounted to 11.3% of current assets at the beginning of the year, and 9.9% at the end of the year; such a decrease can be characterized positively. Its absolute increase by 239,519 thousand soms (3.75 times) contributed to the growth of working capital by only 9.4% (239,519 / 2,538,785 x 100%). OJSC "USTA" this debt is short-term (payments for which are expected within 12 months after the reporting date), which reduces the risk of non-repayment of debts. financial working capital profit

From a financial point of view, the structure of working capital has improved compared to 2011, because the share of the most liquid assets increased (cash and short-term financial investments), while the share of less liquid assets (accounts receivable) decreased. This increased their possible liquidity. The efficiency of using working capital is characterized primarily by its turnover.

Thus, let's move on to analyzing the turnover of all working capital and their components. The assessment of turnover is made by comparing its indicators for several chronological periods for the analyzed enterprise.

Turnover indicators are:

turnover ratio, showing the number of turnovers of the analyzed assets for the reporting period and equal to the ratio of sales proceeds excluding VAT to the average cost of working capital.

turnover time, showing the average duration of one turnover in days and determined by the ratio of the average cost to sales revenue and multiplied by the number calendar days in the analyzed period.

The calculated indicators of working capital turnover are shown in Table 2.2.

Table 2.2Indicators of turnover of working capital of OJSCMOUTH» for 2011-2012

	Indicators	Indicator values by year
			% by 2011
	Average cost of working capital, thousand soms
	Average accounts receivable, thousand soms
	Average cost of working capital, thousand soms
	Sales revenue excluding VAT, thousand soms
Estimated indicators
	Inventory turnover ratio.
	Material turnover time rev. funds, days
	Accounts receivable turnover ratio
	Accounts receivable turnover time, days
	Working capital turnover ratio.
	Time of turnover of working capital, days.

The table data shows that there was a decrease in the turnover of all the given indicators. The turnover of receivables decreased compared to 2011 from 42.9 turnovers per year to 36.3 turnovers, that is, compared to the previous year, repayment of receivables occurred more at a slow pace. The receivables turnover time is 8.5 days in 2011 and 10 days in 2012. This indicates that accounts receivable are being repaid quickly enough.

The turnover of tangible working capital decreased more significantly from 7.9 turns in 2011 to 4.5 turns in 2012. Accordingly, the turnaround time increased to 86.5 days. The decrease in turnover in 2012 was due to difficulties with product sales, which in turn were caused by ineffective inventory management; insufficient research by the enterprise into markets for its products and opportunities to expand sales channels.

The value of non-current assets has been continuously decreasing for 2 years. In 2011, this decrease amounted to 619,414 thousand soms, and in 2012, 293,691 thousand soms or 9.2%. Their share in property also decreased. So in 2012 it fell from 75.8 to 44.5%. At the same time, as already noted, working capital increased 4 times. Thus, the growth rate of working capital was 4.74 times higher than that of non-current assets (430%/90.8%). This trend could be characterized positively if it were not for the factors that influenced their growth, namely: a sharp increase in the amount of inventories, which froze part of the working capital.

The decrease in the value of non-current assets is due to a reduction in such an element as “fixed assets”, which during the year decreased by 342,453 thousand soms, or by 12.4%, with their share in non-current assets at the end of the year being 83.5%. The decrease in non-current assets in 2011 is also associated with a decrease in the item “fixed assets” for the year by 669,419 thousand soms or by 19.6%; their share in 2011 decreased by 3.4% (from 90 to 86.6%) .

The item “construction in progress” has been gradually growing over the course of two years. In 2011, it increased by 50,000 thousand soms or 13.9%, its share in non-current assets increased from 9.4% to 12.8% (+3.4%). In 2012, “construction in progress” increased by 48,762 thousand soms or 12%, while its share of non-current assets increased from 12.8% to 15.7% (+2.9%). Since this item does not participate in production turnover and, therefore, an increase in its share in the structure of non-current assets had a negative impact on the performance of the financial and economic activities of the enterprise.

Financial performance indicators characterize the absolute efficiency of the enterprise's management. The most important among them are profit indicators, which in the transition to a market economy forms the basis economic development enterprises.

The final financial result of the enterprise is the balance sheet profit or loss, which represents:

v the amount of the result from the sale of products (works, services);

v results from other sales;

v balance of income and expenses from non-operating operations.

Table 2.3Analysis of the profit of OJSC "Mouth» for 2011-2012

Indicator name	year 2012	2011	Deviations

1. Revenue from the sale of goods, works and services (less VAT, excise taxes and similar mandatory payments(IN)
2. Cost of sales of goods, products, works, services (C)
3. Selling expenses (CR)
4. Management expenses (UR)
5. Profit (loss) from sales (Pr)
6. Interest receivable
7. Interest payable
8. Income from participation in other organizations (DrD)
9. Other operating income (OI)
10. Other operating expenses (OOP)
11. Profit (loss) from financial and economic activities (Pfhd)
12. Other non-operating income
13. Other non-operating expenses (O&R)
14. Profit (loss) of the reporting period (Pb)
15. Income tax (IP)
16. Distracted funds (OTS)
17. Retained profit (loss) of the reporting period (Mon)

The table data shows that balance sheet profit in 2012 increased significantly compared to 2011 by 62,374 thousand soms or 6 times. Thus, there has been a positive trend in changes in the amount of balance sheet profit.

Financial relations of Usta OJSC consist of four groups:

1 group. The largest group in terms of the volume of cash payments is relations associated with the sale of finished products and the acquisition of material assets for business activities. The role of this group of financial relations is primary, since it is in the sphere of material production that national income is created, enterprises receive revenue from the sale of products and profit.

Group 2 includes relations between shops, departments, teams, etc., as well as relations with workers and employees. Relations between divisions of the enterprise are associated with payment for work and services, distribution of profits, working capital, etc. Their role is to establish certain incentives and financial responsibility for the high-quality fulfillment of accepted obligations. Relations with workers and employees are wages.

Group 3 includes relations regarding the formation and use of centralized monetary funds, which in conditions of market relations are an objective necessity. This is especially true for financing investments, replenishing working capital, financial import operations, scientific research, including marketing. Intra-industry redistribution of funds, as a rule, on a repayable basis, plays an important role and contributes to the optimization of enterprise funds.

The financial mechanism of Usta OJSC is a financial management system of an enterprise designed to organize the interaction of financial relations and funds of funds with the aim of effectively influencing the final results of production, established by the state in accordance with the requirements of economic laws.

Chapter 3. Ways to improve the management of financial resources and financial relations in an organization

Currently, our country is experiencing a deep crisis in social and economic terms, generated by the natural laws of economic development.

One of current issues in a market economy is the industrial sector in the country.

Exiting a crisis situation and ensuring economic recovery presupposes the need to simultaneously solve numerous complex problems:

a) eliminating the causes of the decline in production and restoring the real production sector of the economy;

b) creating the necessary conditions for economic growth;

c) coordination of all economic entities forming a market economy.

In solving these problems, it is important to implement an appropriate active industrial policy that can improve the health of industry and have a positive impact on the socio-economic development of the republic.

One of the tasks of the Usta OJSC enterprise for the near future is to search for sources of capital growth. As you know, profit is only one of the sources of increasing the capital of an enterprise. Other sources are: credits, loans, issue of securities, deposits of founders, others.

In this case, the key indicators, along with profitability indicators, are capital turnover indicators. This approach is more relevant in conditions of inflation.

In the field of production and economic activities, items are reflected that are used in calculating net profit in the income statement. The outflow of funds is allocated by such operations as payment of wages, payment of interest on loans, payment for products and services, tax expenses and others. These items are adjusted for receipts and expenses accrued but not paid or accrued but not requiring the use of funds. In addition, in order to avoid double counting, items affecting net profit, which are considered in the sections of financial investment activities, are excluded.

Thus, to calculate the increase or decrease in funds as a result of production and economic activities, it is necessary to carry out the following operations:

§ when adjusting short-term liabilities, on the contrary, their growth should be added to net profit, since this increase does not mean an outflow of funds; a decrease in short-term liabilities should be deducted from net profit.

§ adjustment of net profit for expenses that do not require payment of funds. To do this, the corresponding expenses for the period must be added to the amount of net profit. An example of such expenses is depreciation of tangible non-current assets and

§ exclude the impact and losses received from non-core activities, such as results from the sale of non-current assets and securities of other companies.

The main directions for improving the financial condition of the enterprise include:

· Financial analysis of the economic state of the enterprise. The importance of analyzing the financial and economic state of an enterprise can hardly be overestimated, since it is precisely this that is the basis on which development is built financial policy enterprises.

· The results of the analysis and assessment of the financial condition will firstly allow us to identify specific areas for deficiencies and find reserves. Secondly, the results of the analysis allow interested individuals and organizations to make management decisions based on the current financial position and activities of the enterprise in previous years.

· Periodically (quarterly, monthly, annually) compile indicators with a detailed analysis of deviations, including recommendations for eliminating deficiencies. In order to develop an enterprise's credit policy, it is recommended to analyze the structure of the balance sheet liability and the level of the ratio of equity and borrowed funds.

Based on these data, the company decides whether its own working capital is sufficient or whether it is insufficient. In the latter case, a decision is made to attract borrowed funds, and the effectiveness of various options is calculated.

It may be profitable for an enterprise to take out a bill of exchange loan, but the interest rates on the bill of exchange loan should be compared. Draw up a plan for repaying borrowed funds and calculating the interest amount. It is advisable for the financial service of the enterprise to constantly monitor the timing of financing assets, using such methods as financing for short-term loans, financing for long-term loans.

It is necessary to introduce a constant analysis of accounts payable, liquidation and prevention of the formation of excess and unnecessary inventories for the enterprise:

Decide on the advisability of revaluing fixed assets taking into account their market value, changing the mechanism for calculating depreciation, etc.

Carry out constant work in providing the enterprise with financial resources, reducing production costs, capital investments in the social development of the enterprise staff, identifying and mobilizing reserves in order to increase the profitability of the enterprise.

Constant analysis of receivables and payables. Analysis of agreements and contracts.

To ensure the survival of an enterprise in modern conditions, management personnel must, first of all, be able to realistically assess the financial condition of both their enterprise and its existing and potential counterparties. To do this you need:

a) own a methodology for assessing the financial condition of an enterprise;

b) have appropriate information support;

c) have qualified personnel capable of implementing this technique in practice. The above analysis of the financial condition of the enterprise - skills are required to conduct the initial analysis. Indicators of solvency, creditworthiness and financial stability evaluate the company more deeply.

Conclusion

Enterprise finance forms the financial basis that ensures the continuity of the production process aimed at meeting the demand for goods and services. Part of the financial resources generated by the enterprise is directed to consumption purposes, thus, with the help of enterprise finance, the social tasks of the development of society are implemented in a decentralized manner.

Enterprise finance can serve as the main instrument of state regulation of the economy. With their help, the reproduction of the manufactured product is regulated and the needs of expanded reproduction are financed based on the optimal ratio between funds allocated for consumption and accumulation. Enterprise finance is used to regulate industry proportions in a market economy, create new industries and modern technologies. Enterprise finance provides an opportunity to use citizens’ cash savings to invest in profitable financial instruments issued by individual enterprises.

Finance of business entities is a relatively independent area of the state finance system, covering wide circle relations associated with the formation and use of capital, income, funds in the process of circulation of their funds and expressed in the form of various cash flows. It is in this area of finance that the bulk of...