FINANCIAL MANAGEMENT: DIAGNOSIS AND FINANCIAL SOLUTIONS FOR MICRO AND SMALL BUSINESSES IN THE MUNICIPALITY OF PAULISTA

Abstract

The small business has substantial contribute in the national economy. They are economic units that employ up to 10 employees, generate innovations and stimulate the economy, even in times of economic recession. Nevertheless, they have encountered difficulties in relation to financial management and control, and in some cases have led to an increase in their early mortality rate. This article is the result of an extension project, whose objective is to contribute to the economic-financial sustainability of MPE's through the transfer of knowledge of financial management, together with the commercial segment of the city of Paulista, seeking the integration of knowledge with the practice. The methodology includes phases such as diagnosis, questionnaire analysis and dialogue, intervention proposal, implementation of the methodology and follow-up. The aim was to understand the main problems of entrepreneurs and to suggest suitable solutions. The results are consubstantiated by the fact that they allow the following observations: that MPE's present an empirical knowledge regarding the need for the use of financial tools, however, they lack the capacity of their application in the day-to-day business with greater effectiveness, financial planning culture, mainly the projections of revenues, costs and expenses and preparation of short-, medium- and long-term cash flow, suffer from restrictions on access to credit from banks, tend to pay their bills in cash, in short , such findings corroborate with results of studies such as Sebrae and IBGE.