Grant funding as a guarantee of business stability

Abstract

In today's world, access to financial support is critical for successful business development and the implementation of social projects. The number of grant programmes in Ukraine is constantly growing. Moreover, such targeted funding can be obtained through government initiatives, private companies or international organisations. The article is devoted to the peculiarities of grant financing of Ukrainian business under martial law. The evolution of the concept of "grant" is considered. It is determined that grant financing is a way to provide funding for projects, programmes and initiatives of Ukrainian business. Grants cannot revive scientific instrumentation in the country, cannot re-equip organisations, and generally cannot systematically support the scientific infrastructure that provides basic funding for innovation. Grants can provide for full funding of the project from donor funds or with partial participation of the enterprise. Compared to other financing instruments (bank loans, attracting investors, raising funds directly from philanthropists, crowdfunding, etc.), grants have important advantages. The characteristic features of grants as part of the economic and legal system of Ukraine are outlined. It is summarised that the entire set of grant announcements under martial law can be divided into three main groups according to their intended purpose: support for a certain category of population; support for processing industry enterprises, energy enterprises, projects related to countering disinformation, cyber defence; increasing the export potential of enterprises, development of Ukrainian start-ups, project promotion, etc. Analysed government grant support programmes and grants from foreign countries and international financial institutions. Priority in obtaining grants is given to entrepreneurs who are ready to create new jobs and employ IDPs or representatives of other key groups, and to relocated businesses which have moved from the war zones. The article raises the issue of assessing the advantages and disadvantages of grant funding. Modern grant programmes are analysed. It is concluded that the advantages make grant funding an important tool for supporting and developing Ukraine in difficult wartime conditions.