CHARACTERISTICS OF SUBJECTS OF SMALL BUSINESS IN THE LIGHT OF DOMESTIC LEGISLATION

The article examines the essence of the terms «business», «entrepreneurship», «small business», «small business» and the characteristics of small businesses in the light of Ukrainian legislation. The lack of interpretation at the legislative level of the aforementioned terms is proved. Such concepts as «small business», «small business» are considered only by scientists, which was generalized by the author of the article. The author agrees with the statement that business is a broader category than entrepreneurship. Entrepreneurship is a component of business. This correspondence is also maintained when interpreting the terms «small business» and «small business». In economic literature, in a generalized form, small business can be characterized as entrepreneurial activity that is carried out at its own risk, which does not contradict the current legislation and creates a small number of jobs, and the purpose of creating a small business is to generate profit. Interpretation of the term «small business» is almost absent in the economic literature. Mostly, the term «small business» is used by scientists. However, in a generalized form, it is possible to describe «small business» as an independent, systematic, initiative economic activity of small enterprises and entrepreneurs (individuals), which is conducted at its own risk in order to profit. It is concluded that a small business involves entrepreneurial activity, which, in turn, is carried out by enterprises or entrepreneurs. Unlike scholars in the normative sources, the term «small business» is more often used. In particular, in the Commercial Code of Ukraine, which describes the characteristics of small business entities. The distinction from the Commercial Code is the recognition of small business entities for the purpose of accounting and financial reporting. Thus, the Law of Ukraine «On Accounting and Financial Reporting in Ukraine» establishes other criteria for the division of enterprises into microenterprises, small, medium and large. That is, there is a discrepancy between the existing legislation in determining the subjects of small business of legal entities, which, according to the author, needs to be agreed upon.