FINANCIAL MANAGEMENT MODELS IN SMALL AND MEDIUM - SIZED ENTERPRISES - THEORY AND PRACTICE

Abstract

Small and medium-sized enterprises (SMEs) play a crucial role in economic growth and innovation, particularly in the context of globalization and digital transformation. However, many SMEs face challenges in achieving financial efficiency and ensuring long-term sustainability due to limitations in financial management. This paper reviews international studies and classifies financial management models into six groups: cash flow and working capital management, financial planning, cost management and investment control, accounting information systems, financial risk management, and digital technology applications. Despite differences in approach, these models share a common goal: enhancing financial decision-making capacity in contexts of risk and resource constraints.