Regulatory and legal framework for the development of small and medium-sized businesses in Ukraine

In contemporary conditions, the stable development of entrepreneurial activity serves as a key factor in driving socio-economic progress in any country worldwide. In Ukraine, entrepreneurial activity faces numerous challenges, including political and economic instability, the impact of the COVID-19 pandemic, an imperfect regulatory framework, martial law, low market capitalization, unfavorable investment conditions, and issues with the taxation system. The purpose of the paper is to conduct a comprehensive study of effective economic and legal regulatory concepts aimed at enhancing competitiveness, stimulating innovation potential, and supporting the sustainable development of small and medium-sized enterprises (SMEs) in Ukraine. Among the shortcomings of the legal framework governing entrepreneurship, the following can be highlighted: ambiguity, instability, and contradictions in the current regulatory framework; the practically non-functional nature of many legal acts; a very low level of compliance with regulatory documents; the presence of numerous vague legal norms that allow for arbitrary interpretation; and the unjustified restrictions and requirements found in some legislative acts. Improving the regulatory framework for business activity in Ukraine is a crucial task for fostering economic growth and attracting investments. Key areas for improvement include simplifying registration and licensing procedures by increasing transparency, promoting the use of electronic services, reforming the tax system, ensuring entrepreneurs' rights by safeguarding property rights and providing effective resolution of commercial disputes, and fostering innovation and the development of SMEs.