The overall efficiency of capital investments means economic indicator, determining the feasibility of investment during research or planning of a future project. At the same time, the effect of possible investments in the spheres of tangible and intangible production is compared, and the information received is compared with current standards.

Units of measurement of capital investments

When calculating capital investments in production of any type, the effect is measured in the following units:

• in valuation (volumes of additional income, volumes of sales of services or products);
• in current parameters (production capacity, facility capacity, throughput, etc.);
• in relative parameters (for example, determining the degree of comfort of living);
• in the parameters of coverage by types of services (number of seats in the cinema, area of ​​the home, etc.).

Note! The overall indicator of investment efficiency is calculated as the ratio of the volume of investment to the magnitude of the effect.

The results of the calculations are compared with efficiency parameters or other indicators related to previous year. As a result, capital investments are recognized as effective if the final efficiency indicator is not lower than the standard one.

Each investment project is the result of the needs of the enterprise. For a project to be viable, it must be consistent with the strategy and economic policy enterprises that are expressed primarily in increased productivity.

Calculation of capital investments is main tool investment analysis. The correctness of making an investment decision depends on the results of this calculation. There are no universal methods; they are selected individually. The fact is that investment projects can be very different both in scale and in the volume of capital investments.

Note! If the project is small and does not require large financial investments to expand production, or it has quite short period of time useful operation, then the most simple ways calculations (more about them a little later).

If we talk about larger-scale projects (for example, the construction of a new facility, the development of new production sectors, etc.), which require large financial investments, then there is a need to take into account many factors, as a result of which complex calculations are carried out and analysis methods are adjusted. The larger the project, the greater the impact it has on all aspects economic activity organization, so calculations must be extremely accurate.

There is one point that significantly complicates the assessment of the effectiveness of investments. We are talking about long term implementation, which sometimes reaches several years. And if in such long-term projects there is even the slightest error in calculations, then in the future there may be the most unexpected consequences, including financial losses.

How are capital investments calculated?

Cost-effectiveness ratio of capital investments

Note! Any investment must be profitable for the investor. It must bring profit to both the investor and the enterprise itself.

There are two coefficients by which the efficiency of investment is determined:

• general;
• comparative.

In the first case, the ratio of planned results to the costs for obtaining them is implied. Typically, efficiency should be calculated at each planning stage. The result of such calculations is the determination of the payback period for investments.

There is a formula by which the efficiency of capital investments is calculated. It looks like this:

P/C=E

In this case:

• P is profit for a certain period;
• K – capital investments;
• E – investment efficiency.

It is worth noting that if fairly large investments in industrial sectors are calculated, the formula may look slightly different. More precisely, it will look like this:

(C-S)/K=E

In this case:

• P is the price of the goods produced per year;
• C – cost of goods produced;
• K – capital investments;
• E – efficiency of the company.

In the trade sector, the indicator is determined using a different formula:

(N-I)/K=E

In this formula:

• N – volumes of allowances;
• I – turnover costs;
• K – capital investments;
• E – efficiency.

Regarding the payback period, the formula that can be used to determine it depends solely on the field of activity of the enterprise. Possible options There are a few.

For the trade sector:

K/(N-I)=T

For the industrial sector:

K/(C-S)=T

Standard formula applicable for most cases:

K/P=T

Note! After calculating the investment, the information obtained must be compared with that obtained during previous periods(or with standard parameters). A project is profitable if its efficiency is equal to or exceeds the standard.

Video - Methods for assessing the effectiveness of investments

If the investment project is ineffective even if all measures are taken state support, then it should be rejected due to inexpediency.

Investments and capital expenditure

Investment is a relatively new term for our economy. Within the framework of the centralized planning system, the concept of “ capital investments" The concept of “investment” is broader than the concept of “capital investment”. Investments include both real and portfolio investments. Real investments - investments in the main and working capital. Portfolio investments are investments in securities and assets of other enterprises.

The Federal Law “On investment activities in the Russian Federation carried out in the form of capital investments” dated February 25, 1999 No. 39-FZ gives the following definitions of the concepts of “investment” and “capital investments”:

« Investments - cash, securities, other property, including property rights, other rights with a monetary value, invested in objects of entrepreneurial activity and (or) other activities in order to make a profit and (or) achieve another positive effect.”

« Capital investments― investments in fixed capital (fixed assets), including costs for new construction, expansion, reconstruction and technical re-equipment of existing enterprises, purchase of machinery, equipment, tools, inventory, design and survey work and other costs.”

Based on this definition, investments made in working capital cannot be considered capital investments. By direction of use capital investments are classified into production and non-production. Production capital investments are directed to the development of the enterprise, non-production investments are directed to the development of the social sphere.

According to the forms of reproduction of fixed assets, capital investments are distinguished:

A) for new construction;

B) for reconstruction and technical re-equipment of existing enterprises;

C) to expand existing enterprises;

D) for equipment modernization.

By funding source a distinction is made between centralized and decentralized capital investments.

Investment or capital investment in the most general sense is understood as a temporary refusal of an economic entity to consume the resources at its disposal (capital) and the use of these resources to increase its well-being in the future.

The simplest example of investment is the expenditure of funds on the acquisition of property characterized by significantly lower liquidity - equipment, real estate, financial or other non-current assets.

Main features investment activities that determine the approaches to its analysis are:

Irreversibility associated with the temporary loss of the use value of capital (e.g., liquidity).

Expectation of an increase in the initial level of well-being.

Uncertainty associated with attributing results to a relatively long-term perspective.

It is customary to distinguish between two types of investments: real and financial (portfolio). In the further presentation of the material, we will mainly talk about the first of them.

It should be noted that in case real investment the condition for achieving the intended goals, as a rule, is the use (operation) of the corresponding non-current assets for the production of certain products and their subsequent sale. This also includes, for example, the use of organizational and technical structures of a newly formed business to make a profit in the course of the statutory activities of an enterprise created with the attraction of investments.

Investment project

If the volume of investment turns out to be significant for a given economic entity in terms of impact on its current and future financial condition, the adoption of appropriate management decisions should be preceded by the planning or design stage, that is, the stage of pre-investment research, culminating in the development of an investment project.

An investment project is a plan or program of activities related to the implementation of capital investments and their subsequent reimbursement and profit.

The task of developing an investment project is to prepare the information necessary for making an informed decision regarding the investment.

The main method of achieving this goal is mathematical modeling of the consequences of making relevant decisions.

Budget approach and cash flows

For modeling purposes, the investment project is considered in a time scale, and the analyzed period (research horizon) is divided into several equal intervals - planning intervals.

For each planning interval, budgets are drawn up - estimates of receipts and payments, reflecting the results of all operations performed in this time interval. The balance of such a budget - the difference between receipts and payments - is the cash flow of the investment project at a given planning interval.

If all components of an investment project are expressed in monetary terms, we will obtain a series of cash flow values ​​that describe the implementation process investment project. In the enlarged structure, the cash flow of an investment project consists of the following main elements:

Investment costs.

Revenue from product sales.

Production costs.

At the initial stage of the project (investment period), cash flows, as a rule, turn out to be negative. This reflects the outflow of resources that occurs in connection with the creation of conditions for subsequent activities (for example, the acquisition of non-current assets and the formation of net working capital).

After the completion of the investment and the beginning of the operating period associated with the start of operation of non-current assets, the value cash flow, as a rule, becomes positive.

Additional revenue from the sale of products, as well as additional production costs incurred during the implementation of the project, can be either positive or negative. In the first case, this may be due, for example, to the closure of unprofitable production, when the decline in revenue is offset by cost savings. In the second case, cost reduction is modeled as a result of savings during, for example, equipment modernization.

Technically, the task of investment analysis is to determine what the cumulative total of cash flows will be at the end of the established research horizon. In particular, it is fundamentally important whether it is positive.

Profit and depreciation

IN investment analysis The concepts of profit and cash flow, as well as the related concept of depreciation, play a large role.

The economic meaning of the concept of “profit” is that it is a capital gain. In other words, this is an increase in the welfare of an economic entity that controls a certain amount of resources. Profit is the main goal of economic activity.

As a rule, profit is calculated as the difference between the income received from the sale of products and services over a given time interval and the costs associated with the production of these products (rendering services).

It should be especially noted that in the theory of investment analysis the concept of “profit” (as well as many other economic concepts) does not coincide with its accounting and fiscal interpretation.

In investment activities, the fact of receiving a profit is preceded by reimbursement of the initial investment, which corresponds to the concept of “depreciation” (in English language the word "amortization" means "repayment of the principal portion of the debt"). In case of investing funds outside current assets This function is performed by depreciation charges. Thus, the justification for fulfilling the main requirements for a project in the field of real investment is based on calculating the amounts of depreciation and profit within the established research horizon. This amount, in the most general case, will be the total cash flow of the operating period.

Cost of capital and interest rates

The concept of "cost of capital" is closely related to the economic concept of "profit".

The value of capital in the economy lies in its ability to create added value, that is, to make a profit. This value in the corresponding market - the capital market - determines its value.

Thus, the cost of capital is the rate of return that determines the value of managing capital over a certain period of time (usually a year).

In the simplest case, when one of the parties (seller, lender, lender) transfers the right to dispose of capital to another party (buyer, borrower), the cost of capital is expressed in the form of an interest rate.

The interest rate is determined based on market conditions(that is, the availability of alternative options for using capital) and the degree of risk of this option. At the same time, one of the components market value capital turns out to be inflation.

When performing calculations in constant prices, the inflation component can be excluded from the interest rate. To do this, you should use one of the modifications of the well-known Fisher formula:

Where r- real interest rate, n- nominal interest rate, i- inflation rate. All rates and inflation rates in this formula are given as decimals and must refer to the same time period.

IN general case The interest rate corresponds to the share of the principal amount of debt (principal) that must be paid at the end of the billing period. Bets of this kind are called simple.

Interest rates that differ in the length of the settlement period can be compared with each other through the calculation of effective rates or compound interest rates.

The effective rate is calculated using the following formula:

, Where e- effective rate, s- simple bet, N- the number of interest accrual periods within the considered interval.

The most important component of the cost of capital is the degree of risk. It is precisely because of the various risks associated with various forms, directions and timing of capital use, different estimates of its value can be observed on the capital market at any given time.

Discounting

The concept of "discounting" is one of the key ones in the theory of investment analysis. The literal translation of this word from English (“discounting”) means “reduction in value, markdown.”

Discounting is the operation of calculating the present value (the English term “present value” can also be translated as “present value”, “present value”, etc.) of monetary amounts relating to future periods of time.

The opposite operation to discounting - calculating the future value of an initial sum of money - is called compounding or compounding and is easily illustrated by the example of an increase in the amount of debt over time at a given interest rate:

, Where F- future, and P- modern value (original value) of a monetary amount, r- interest rate (in decimal expression), N- number of interest calculation periods.

The transformation of the above formula in the case of solving the inverse problem looks like this:

Discounting methods are used when it is necessary to compare values cash receipts and payments spread over time. In particular, the key criterion for investment efficiency - net present value (NPV) - is the sum of all cash flows (receipts and payments) arising during the period under review, reduced (recalculated) to one point in time, which is usually chosen as the moment of commencement of investment.

As follows from all of the above, the interest rate used in the formula for calculating modern value is no different from the usual rate, which, in turn, reflects the cost of capital. In the case of discounting methods, this rate, however, is usually called the discount rate (possible options: “comparison rate”, “barrier rate”, “discount rate”, “reduction factor”, etc.).

The qualitative assessment of the effectiveness of an investment project largely depends on the choice of discount rate. Exists a large number of various methods to justify the use of one or another value of this rate. In the most general case, you can specify the following options for choosing a discount rate:

The minimum return on an alternative use of capital (for example, the rate of return of reliable market valuable papers or deposit rate in a reliable bank).

The existing level of return on capital (for example, the company's weighted average cost of capital).

The cost of capital that can be used to implement a given investment project (for example, the rate on investment loans).

The expected level of return on invested capital, taking into account all the risks of the project.

The betting options listed above differ from each other mainly in the degree of risk, which is one of the components of the cost of capital. Depending on the type of discount rate chosen, the results of calculations related to assessing the effectiveness of investments must be interpreted.

Objectives of assessing an investment project

The main goal of evaluating an investment project is to substantiate its commercial (entrepreneurial) viability. The latter requires the fulfillment of two fundamental requirements:

Full reimbursement (recoupment) of the invested funds.

Obtaining a profit, the size of which justifies the abandonment of any other method of using resources (capital) and compensates for the risk arising due to the uncertainty of the final result.

It is necessary to distinguish between two components of the commercial viability of an investment project, its necessary and sufficient conditions, respectively:

Economic efficiency of investments.

Financial viability of the project.

Economic assessment or assessment of the effectiveness of capital investment is aimed at determining the potential of the project under consideration to provide the required or expected level of profitability.

When performing investment analysis, the task of assessing the effectiveness of capital investments is the main one, determining the fate of the project as a whole.

The financial assessment is aimed at choosing a project financing scheme and thereby characterizes the possibilities for implementing the project’s existing economic potential.

When performing an assessment, you should take an economic approach and consider only those benefits and losses that can be measured in monetary terms.

Stages of investment project assessment

The development cycle of an investment project can be presented as a sequence of three stages (phases):

Formulating the project idea

Assessment of the investment attractiveness of the project

Selecting a project financing scheme

At each stage, its own problems are solved. As we move through the stages, the idea of ​​the project is refined and enriched with new information. Thus, each stage represents a kind of intermediate finish: the results obtained at it should serve as confirmation of the feasibility of the project and, thus, are a “pass” to the next stage of development.

At the first stage, the feasibility of the project is assessed from the point of view of marketing, production, legal and other aspects. The initial information for this is information about the macroeconomic environment of the project, the intended market for products, technologies, tax conditions and so on. The result of the first stage is a structured description of the project idea and a time schedule for its implementation.

The second stage in most cases is decisive. Here the effectiveness of investments is assessed and the possible cost of attracted capital is determined. Initial information for the second stage is the schedule of capital investments, sales volumes, current (production) costs, need for working capital ah, the discount rate. The results of this stage are most often presented in the form of tables and investment performance indicators: net present value (NPV), payback period, internal rate of return (IRR).

This stage of project assessment corresponds to the computer model "PRJECT MASTER: Preliminary assessment".

The last - third - stage is associated with choice optimal scheme financing the project and assessing the effectiveness of investments from the position of the owner (holder) of the project. For this purpose, information about interest rates and loan repayment schedules, as well as the level of dividend payments, etc. Results financial assessment the project should be: financial plan project implementation, forecast forms of financial statements and indicators of financial solvency. The computer model "PROJECT MASTER: Budget Approach" corresponds precisely to this stage of project evaluation.

Any method of investment analysis involves considering the project as a conditionally independent economic object. Therefore, at the first two stages of development, the investment project should be considered separately from the rest of the activities of the enterprise implementing it.

The isolated (local) nature of the consideration of projects excludes the possibility of correctly choosing their financing schemes. This is due to the fact that the decision to attract one or another source to finance capital investments is made, as a rule, at the level of the enterprise as a whole or its financially independent division. In this case, first of all, the current financial condition of this enterprise is taken into account, which is almost impossible to reflect in a local project.

Thus, in large enterprises the task of choosing a financing scheme for an investment project (according to at least, for projects classified as “large”) necessarily goes to the highest level of management. At the middle management level, the task remains of selecting the most effective, that is, the most potentially profitable projects from the available list 1 .

Capital investments as a method of reproduction of fixed assets

A constant and inexhaustible source of growth in social labor productivity is scientific and technological progress and the use of the latest developments in production technology.

The progress of science determines technical development. The latter causes continuous significant changes in all factors of the production process, and also affects the people managing this process. Changes in the internal structure of the production organism are usually called innovation.

Changes in the structure of production do not necessarily have to be caused by the introduction of new means of production, but in most cases this occurs precisely for this reason. Innovations, as a rule, require capital investments.

Fixed assets are created through capital investments. Their size, structure and placement create a base that significantly affects the volume of products, their quality and range, and the possibilities for further development of production.

Mastered capital investments, as a rule, are used for a long time: buildings last 20-100 years, machinery and equipment - 3-10 or more years. Thus, fixed assets largely characterize the state of equipment and technology at the time of capital investments. Ill-considered capital investments may adversely affect technical development and improving technology, since in the future significant funds may be required for the reconstruction and modernization of fixed assets.

Society does not use part of the newly received funds (net income) directly for consumption, but spends it on the creation of new structures, machines and equipment that will pay off and begin to benefit society only in the future. For capital investments to be effective, the invested funds must be returned in a larger volume. From this point of view, capital investments should ensure increasingly complete satisfaction of the needs of society and create conditions for obtaining a social product with a cost acceptable to the consumer at the least cost of social labor. These requirements are fully valid both for the entire national economy and for individual enterprises.

The funds at the disposal of society are limited and can be used in different ways. Possible options for their use, as a rule, differ in capital intensity and provide different returns. From an economic point of view, preference should be given to the option that gives the optimal required effect.

When making capital investments, economic criteria are important, but not the only ones. For example, capital investments aimed at improving environment, serve to preserve certain production factors, etc. In such cases, capital investments should be assessed in accordance with non-economic criteria.

Knowledge and analysis of the resource needs for the production of certain types of products makes it possible to choose one or another option for capital investments and determine the industries in which the available resources can be used with the greatest return.

Economic conditions and the natural environment are very difficult to change. The sectors that are relatively easy to change are primarily labor and capital goods. When calculating economic efficiency, land, labor and means of production are considered as objects of capital investment. Each of these factors can be considered individually or in combination.

The purpose of using capital investments is to in order to achieve (after their development) a more complete satisfaction of the needs of society. This is the main requirement from which to proceed when deciding on the advisability of additional capital investments. New means of production are introduced into the system of previously used means of production, for the formation of which certain costs (labor, financial resources) were made, and, naturally, a requirement is put forward that these costs are recouped to the maximum extent.

Capital investments- this is part of the income used for expanded reproduction. In the most general sense, capital investment is a certain amount of social labor allocated for the reproduction of fixed assets.

Capital investments can be used in different ways. You can direct capital investments to increase land fertility, purchase machinery, equipment, construct buildings, etc.

Depending on the functions, carried out in the production process, capital investments are divided into:

A) aimed at replacing living labor;

B) aimed at intensifying production;

C) aimed at improving production and working conditions.

Capital investments aimed at replacing living labor allow saving the latter. This group includes capital investments for the purchase of machinery and equipment. Machines replace human labor and increase productivity. In most cases, production volume does not increase, however, such capital investments can have an intensifying effect (for example, as a result of reducing losses, increasing production volume due to the timely implementation of necessary operations, etc.).

Capital investments aimed at intensifying production, directly lead to an increase in production volume. This may include the costs of some construction work, for example, the construction of greenhouses, the purchase of containers for petroleum products, etc.

The third group includes capital investments, the result of which in relation to production is called indirect. They are necessary in the modern production process, but in themselves they do not contribute either to an increase in production volume or to an increase in labor productivity. This includes, for example, production premises. Without them, this or that production is impossible, although the buildings themselves, as a rule, do not have an intensifying effect on the production process and do not contribute to increasing labor productivity. And only the internal equipment of structures, their location and appropriate preparation can help increase labor productivity.

The division given is relative. As a rule, it is not possible to draw a clear line between the individual effects of capital investments.

The main method of expanded reproduction of fixed capital are direct investments (capital investments).

Direct investments represent the costs of creating new fixed capital facilities, expansion, reconstruction and technical re-equipment of existing ones. The ratio of costs in these areas is called reproductive structure direct investment.

Towards new construction include the costs of constructing facilities on new sites.

By extension we mean construction of the second and subsequent stages of the enterprise, additional production complexes and production facilities, as well as the construction of new or expansion of existing workshops for the main purpose.

Reconstruction represents a complete or partial re-equipment and reconstruction of the enterprise (without the construction of new and expansion of existing workshops for the main production purpose, with the exception - if necessary - of the creation of new and expansion of existing auxiliary and service facilities) with the replacement of obsolete and physically worn-out equipment, mechanization and automation of production , eliminating imbalances in technological links and support services. As a result of reconstruction, an increase in production volume is achieved based on new, more modern technology, an expansion of the range or improvement of product quality, and an improvement in its competitiveness in the market. Reconstruction can also be carried out in order to change the profile of the enterprise and organize the production of new products on existing production facilities.

Technical re-equipment includes a set of measures (without expanding production space) to raise the technical level of individual production areas, units, installations to modern requirements through the implementation new technology and technology, mechanization and automation of production processes, modernization and replacement of obsolete and physically worn-out equipment with new, more productive ones; eliminating bottlenecks, improving the organization and structure of production. Both the above and other organizational and technical measures are designed to ensure an increase in labor productivity, production volume, improvement of its quality, working conditions and organization and other indicators of the enterprise.

Technological structure of direct investment consists of three main elements:

acquisition of equipment, tools and inventory;

expenses for construction and installation work;

other direct investments, which include design and survey work, early implementation of measures to put constructed facilities into operation (training of personnel for the main occupations of workers for enterprises under construction, etc.).

The ratio of costs for equipment, construction and installation work and other capital investments forms technological structure of direct investment. The economically most profitable structure is where equipment costs predominate (in terms of share).

Work on the construction of enterprises, facilities, and structures is carried out either directly by enterprises and economic organizations making capital investments (economic construction method), or by special construction and installation organizations under contracts with customers (contract construction method).

With the economic method construction, construction divisions are created at each enterprise, machinery and equipment are purchased for them, construction workers are attracted, and a production base is formed.

Contract method means that construction work is carried out by construction and installation organizations created for this purpose on the basis of contracts with customers. Carrying out work under contracts ensures mutual control between the customer and the contractor, and contributes to a more efficient, economical use of material, labor and monetary resources.

Thus, with the contract method, construction is carried out by permanent organizations. This provides conditions for creating a stable workforce of workers with the necessary qualifications and equipping construction organizations with modern equipment. Contracting organizations systematically accumulate production experience and can high level carry out construction work.

Under industry structure capital investments are understood as their distribution and correlation across industries and the national economy as a whole. Its improvement lies in ensuring proportionality and in more rapid development of those sectors that ensure the acceleration of scientific and technical progress throughout the national economy.

Under the territorial structure capital investments are understood as their distribution and ratio in the totality of individual economic regions, regions, territories and republics of the Russian Federation.

The point of improving the territorial structure of capital investments is to ensure that it allows for maximum economic and social effect.

2. Sources and methods of financing capital investments

Currently, real investments in Russia are carried out mainly in the form of capital investments, and the accumulation fund is formed in the order of profit distribution between the budget and business entities. In addition, part of the compensation fund in the form of depreciation charges is allocated for capital investments.

Sources of financing capital investments are closely related to the financial and credit mechanism investment sphere, where their practical implementation takes place.

Investments in fixed assets are financed on the territory of the Russian Federation through:

1. own financial resources and intra-economic reserves of investors (net profit; depreciation charges; savings of citizens and legal entities; funds paid by insurance authorities in the form of compensation for losses from natural Disasters, accidents, etc.);

2. borrowed financial resources investors (bank loans, bond issues, etc.);

3. attracted financial resources from investors (funds received from the issue of shares, shares and other contributions of individuals and legal entities to the authorized capital);

4. funds centralized by voluntary unions (associations) of enterprises and financial and industrial groups;

5. funds federal budget provided on a gratuitous and reimbursable basis; funds from the budgets of the constituent entities of the Russian Federation;

6. funds off-budget funds(for example, road fund);

7. funds from foreign investors.

Included in own funds investors include profit and depreciation charges.

After paying taxes and other payments from profits to the budget, enterprises are left with net profit. The enterprise has the right to use part of it for capital investments of a production and social nature, as well as for environmental protection measures. This part of the profit can be used for investment as part of an accumulation fund or other similar fund created by enterprises.

The second major source of investment financing fixed assets of enterprises are depreciation deductions(as part of the compensation fund). During operation, fixed assets gradually wear out, that is, they lose their original physical properties, as a result of which their real book value decreases.

There are physical (material) wear and tear and cost depreciation, including, in addition to monetary terms physical wear and tear, a certain amount of obsolescence. Cost depreciation is compensated by accumulating funds included in the cost of products (works, services) in the form of depreciation charges. The value of the latter depends on the book value of fixed assets and the established rates of their depreciation. Typically, the depreciation rate is determined as a percentage of the book value and is differentiated based on the type of fixed assets and the conditions of their operation. The amount of depreciation charges must be sufficient for the construction or acquisition of new facilities to replace those that are decommissioned.

Cost depreciation is not accrued for fully depreciated objects, even if they continue to function normally (with the exception of buildings and structures). In most cases, depreciation rates were determined by groups of fixed assets, consisting of many inventory items. If an enterprise has equipment for which there are no established standards, depreciation is charged according to the standards for similar objects.

In order to create financial conditions for the rapid introduction of scientific and technical achievements into production and increase the interest of enterprises in the accelerated renewal of the active part of fixed assets, they were allowed to use the method of accelerated depreciation of machinery and equipment. Accelerated depreciation is a targeted method of faster than standard service life of fixed assets and full transfer of their book value to production and distribution costs.

Enterprises have the right apply the accelerated depreciation method in relation to fixed assets used to increase the production of computer equipment, new advanced types of materials and equipment, expand the export of products, as well as in cases where there is a massive replacement of worn-out and obsolete equipment with new, more productive ones.

When introducing accelerated depreciation, enterprises use uniform (linear) method of its calculation. At the same time, the annual depreciation rate approved for the corresponding inventory item increased, but not more than twice. The need to use the accelerated depreciation mechanism on a larger scale was agreed upon with the financial authorities of the constituent entities of the Russian Federation. The decision to apply the accelerated depreciation mechanism within a month was communicated by enterprises to the relevant tax authorities.

Small enterprises in the first year of operation had the right to write off additionally as depreciation charges up to 50% of the original cost of fixed assets with a service life of more than three years, as well as to carry out their accelerated depreciation on a general basis. If the activity of a small enterprise is terminated before the expiration of one year, the amount of additionally accrued depreciation was subject to restoration by increasing the balance sheet profit.

Depreciation charges made using the accelerated method were used by enterprises according to intended purpose. In case of their misuse, the additional amount of depreciation, which corresponded to the calculation using the accelerated method, was included in the tax base and was subject to taxation in accordance with current legislation.

Depreciation is accrued monthly on newly registered fixed assets, starting from the 1st day of the month following the month of receipt. For retired objects, depreciation accrual stops on the 1st day of the month following the month of their retirement.

For intangible assets, depreciation deductions are made in equal shares over the period of their existence. If the useful life of an intangible asset cannot be determined, then its amortization period is set at 20 years.

To create favorable economic conditions and stimulate active renewal of fixed assets, the state uses a mechanism for their periodic revaluation.

In case of insufficiency own sources to finance capital investments, the enterprise has the right to attract long-term loans banks, as well as funds mobilized in the securities market.

Financing of state centralized capital investments can also be carried out at the expense of budget funds provided on a non-refundable and repayable basis.

The state regulates investment activities by supporting federal target construction programs, directing budget funds to finance them.

To open financing for state centralized capital investments on an irrevocable basis, government customers provide the Ministry of Finance of the Russian Federation with extracts from the approved list of construction projects and facilities indicating the volume of capital investments and government contracts (contractor agreements) for the construction of facilities for federal needs.

The Ministry of Finance of the Russian Federation transfers funds within one month after approval of the volumes of centralized capital investments and the list of construction projects for state (federal) needs to state customers, and they provide them on an irrevocable basis to direct customers (developers) within the limits of the funding volumes communicated to them by the Ministry of Finance of the Russian Federation. Developers provide banks carrying out operations to provide funds with the following documents:

Title lists of newly started construction projects, broken down by year;

Government contracts (contractor agreements) for the entire construction period, indicating the form of payment for the work performed;

Summary estimates of construction costs;

Conclusion of the state non-departmental examination of design documentation;

Clarified volumes of capital investments and construction and installation work for ongoing construction projects.

State customers submit monthly reports to the Russian Ministry of Finance on the use of federal budget funds provided on a non-refundable basis to finance centralized capital investments.

Federal budget funds, which are provided on a repayable basis to finance state centralized capital investments, are allocated to the Ministry of Finance of Russia Central Bank Russia. The Russian Ministry of Finance directs these borrowed funds to developers through commercial banks in accordance with agreements concluded with these banks. The list of commercial banks that carry out operations to finance borrowers (developers) is established by the Government Commission on Credit Policy on the proposal of the Ministry of Finance of Russia, as well as taking into account the opinion of the Central Bank of Russia. Federal budget funds received by commercial banks from the Russian Ministry of Finance are allocated to borrowers (developers) on a contractual basis.

To conclude agreements to receive these funds, borrowers (developers) submit the following documents to banks:

1) extracts from the list of construction sites and facilities for state federal needs;

2) government contracts (contractor agreements);

3) calculations justifying the timing of the commissioned production facilities reaching their designed capacity;

4) calculations of the terms for the return of issued funds and interest on them;

5) conclusion of a state non-departmental examination of design documentation;

6) documents confirming the borrower’s solvency and repayment of funds.

Federal budget funds are provided on a repayable basis to borrowers secured by movable and immovable property in accordance with the collateral legislation of Russia.

Federal budget funds received by commercial banks and provided on a repayable basis can be used strictly for their intended purpose only to finance capital investments for state federal needs.

Repayment by borrowers (developers) of federal budget funds provided on a repayable basis is carried out within the time limits determined by the concluded agreements. The Ministry of Finance of the Russian Federation returns the loan (together with accrued interest) to the Central Bank of Russia. Interest for the use of federal budget funds provided on a repayable basis is accrued from the date of their issuance to borrowers in accordance with concluded agreements. The interest rate is set in an agreement between the Russian Ministry of Finance and the Central Bank of Russia.

Financing and lending for the construction of mixed investment projects from the federal budget, our own and other sources are carried out in the manner established for the provision of budgetary allocations.

Financing of capital investments from investors' own funds is carried out by agreement of the parties. Construction partners independently determine the procedure for customers (developers) to deposit their own funds into bank accounts to finance capital investments and mutual settlements. Forms of payment for construction and installation work, supplies of material, energy resources and services for the construction of facilities are determined by construction agreements (contracts). They are concluded by customers (developers) and contractors for the entire construction period.

Payments for construction projects are carried out according to negotiated price. The contractual cost (price) of a construction project can be calculated:

In accordance with the project, taking into account special conditions in the construction contract (fixed price);

At the actual cost of construction with the addition of the agreed amount of the contractor’s profit (open price).

IN modern conditions enterprises of various forms of ownership independently develop investment programs and ensure their implementation with appropriate material and financial resources. The investment formation plan is not a directive document for the enterprise, but defines the strategy of its financial capabilities for the coming year.

When developing a strategy for the formation of investment resources, five main methods of financing investment programs and projects are usually considered:

Self-financing;

Corporatization (issue of own shares);

Credit financing;

Investment leasing and selling;

Combined (mixed) financing.

The most promising method is self-financing (self-investment). To determine the share of own funds in the total investment, you can use the self-financing ratio.

Ksf = Ss/I,

where Сс - own funds of the enterprise ( net profit and depreciation charges), rub.; I is the total amount of investment, rub.

The recommended value of the indicator is not lower than 0.51 (51%). At a lower value, the enterprise loses its financial independence in relation to external sources of financing (borrowed and raised funds).

Corporatization as a method of financing investments usually used for the implementation of large-scale projects with sectoral or regional diversification of investment activities (for example, in oil and gas complex Russia).

Credit financing usually comes in two forms: in the form of obtaining long-term bank loans for the implementation of specific projects and bond issues.

Bond loans can be issued only by well-known joint-stock companies (corporations or financial and industrial groups), whose solvency is not in doubt among investors (creditors).

Leasing and investment sales are used when there is a lack of own funds for real investments, as well as for capital investments in projects with a short operating period or with a high degree of technology variability.

Leasing allows the lessee company to quickly acquire the equipment it needs without simultaneously diverting significant financial resources from its turnover.

Investment Seleng - new form attracting financial resources, used by a number of companies in Russia. It is a specific form of obligation, consisting in the transfer by the owner (legal entity or citizen) of the rights to use and dispose of his property for a period of time for a certain fee. Such property may include: fixed assets(buildings, structures, equipment) and current assets (cash, securities, etc.). In this case, the owner remains the owner of the leased property and can return it upon request. The Seleng company attracts and freely uses at its discretion the property and individual property rights of legal entities and citizens. Therefore, in terms of the form of financing, investment selling is close to banking.

Selenge is an effective method of financing various areas of economic activity, including investment. With the help of Selenga, financial assistance is provided to companies experiencing an acute shortage of various types resources, including money. Therefore, in foreign practice, selling has become one of the important methods of financing investments in various fields entrepreneurial activity.

Blended finance is based on various combinations of these methods and can be implemented in all forms of investment.

Long-term lending for capital investments

The need for long-term lending for capital investments arises from the frequent shortage of own funds among enterprises, which is due to the discrepancy between the available financial resources and the needs for them for the expanded reproduction of fixed capital. In this case, long-term credit relationships arise between the borrower and the lender (bank).

Long-term loans from commercial banks are now being attracted to real and quickly implemented projects with a high rate of return on investment. In contrast to budget funds, attracting long-term bank loans for capital investments increases the responsibility of borrowers for their rational use due to the repayment and repayment of borrowed funds. Only large commercial banks are currently able to engage in long-term lending for capital investments, but subject to the provision of tax benefits, because with high inflation there are no criteria for the feasibility of credited activities. In modern conditions, commercial banks in Russia are unlikely to engage in long-term lending for the construction of large projects without benefits that compensate for losses compared to the results of short-term lending. The exception is those provided by several banks to one reliable borrower for the implementation of a highly profitable project (if the rate of return on it exceeds the loan interest rate).

Objects of bank lending for capital investments for enterprises of all forms of ownership are the costs:

1. for the construction, expansion and reconstruction of production and non-production facilities;

2. acquisition of movable and immovable property (buildings, equipment, etc.);

3. formation of new enterprises with the participation of foreign investors;

4. creation of scientific and technical products, intellectual values ​​and other property.

The procedure for granting, processing and repaying long-term loans (for a period exceeding one year) is regulated by the rules of banks and loan agreements with borrowers.

When setting the terms and frequency of repayment of a long-term loan, the bank takes into account:

Cost recovery from the borrower's net profit;

Solvency of the enterprise;

Level of credit risk;

Opportunities for accelerating the turnover of credit resources.

To obtain a long-term loan, the borrower submits to the bank documents characterizing his solvency:

balance sheet as of the last reporting date;

Profits and Losses Report;

feasibility studies and calculations for them, confirming the effectiveness and cost recovery of the financed activities and projects.

The amounts of loans received in rubles are credited to a current account or special accounts in banks, as well as to a foreign currency account (when receiving a loan in foreign currency).

A long-term loan pays for construction and installation work, supplies of equipment, design products and other resources for construction. Return borrowed money for newly started construction projects and facilities begins after they are put into operation within the time limits established by the contracts. For facilities being built at existing enterprises, loan repayment begins before the commissioning of these facilities.

Interest for the use of credit resources is accrued from the date of their provision in accordance with concluded agreements between enterprises and banks. Repayment of interest for the use of borrowed funds is carried out:

A) for newly started construction projects and facilities - after they are put into operation within the time limits specified in the loan agreements;

B) for facilities constructed at existing enterprises - monthly from the date of receipt of these funds.

Conditions for opening capital investment financing

Proper organization and planning of capital investments are important conditions for opening the procedure for their financing. Capital investments are planned both for the country as a whole and for industries and enterprises. A number of organizations can participate in the development of large capital investments: the customer, the contractor, the general designer and supplier organizations.

A contractor is an organization that prepares and provides construction for itself or for a future consumer. The supplier organization enters into a supply contract for construction. The general designer is an organization authorized to carry out design work and which has entered into an agreement on the development of design documentation.

The main document is the preliminary capital investment project. It must contain the name of the facility under construction, a connection diagram to the area, justification and purpose of construction, efficiency requirements and a comprehensive description of the technical and economic level of construction. This includes the proposed production technology, total construction costs and additional capital investments, the required number of workers, technical and economic characteristics of the product, the need for raw materials, energy and water, and the need for transport in connection with the location of the facility. An important part of the preliminary design is the assessment of the impact of the constructed facility on the environment. The preliminary project indicates the time frame for preparing project documentation, starting construction and putting the facility into operation.

The preliminary design forms the basis for the development of a project specification, in which capital investments are specifically distributed and justified by individual expense items and functions. The design specification defines the requirements for the technical, economic and architectural levels of construction and indicates its timing. The design assignment contains an economic part, which should reflect the overall efficiency of construction.

During the development of the design assignment, it is necessary to agree on its individual points with the regulatory authorities. These are, in particular, issues of industrial hygiene, fire safety, occupational health and safety, environmental protection, etc. The project assignment must be agreed upon with government committees at the appropriate level.

Project documentation is divided into an explanatory note and a working draft. For small construction projects, a project can be developed consisting of one part with a structure explanatory note, which provides details of the working design. In these cases, the simplest design documentation is developed, limited to a description of the progress of work, the necessary drawings, a list of materials and an estimate.

Financing the repair of fixed assets

Repair is one of the forms of reproduction of fixed assets (funds), which wear out and lose their performance qualities over time.

Repair is understood as a set of operations to restore the serviceability or performance of labor tools or their components, taking into account the use of opportunities to improve their technical parameters (productivity, power, etc.). In accordance with the methodology adopted in Russia, repairs of buildings, structures, equipment and other fixed assets are divided into capital and current. Major renovation is performed to restore the serviceability of the resource of an inventory object with the replacement or restoration of any of its parts, including basic ones. Current repairs are carried out to ensure or restore the functionality of the product and consist of replacing its individual parts.

The enterprise independently develops a capital repair plan for fixed assets for the coming year and schedules for repair work on individual inventory items. The basis for drawing up such a plan is the estimate and technical documentation, which takes into account current standards, prices and tariffs. The capital repair plan and estimate and technical documentation are approved by the head of the enterprise and serve as the basis for financing repair work.

The enterprise has the right to independently choose the method of attributing costs associated with repairs to production and distribution costs:

Include in the cost price the actual costs of repairs after their implementation;

Create a repair fund (cash reserve) at the expense of cost;

If necessary, assign the actual costs of repairs to deferred expenses with their subsequent monthly write-off to the cost of products (works, services).

When carrying out repair work by contract, it is advisable to cover the repair costs from the repair fund created at the enterprise. It is intended to more evenly include repair costs in the cost of production in order to prevent significant fluctuations in the profit mass within a year.

The repair fund is formed by monthly deductions included in the cost of production according to standards established by the enterprise itself as a percentage of the book value of fixed assets. In this case, the actual costs of repairs, as the contractor submits invoices for the repair work performed, are reimbursed from the repair fund.

Issuance of advances to contractors, payment for repair work in the contract method of their production are carried out from the current account of the enterprise in the presence of an agreement concluded with the contractor and an acceptance certificate for the work performed 2.

Capital efficiency investments

Capital investments are called investments aimed at the construction or acquisition of objects fixed assets (funds). Capital investments are otherwise called investments in fixed assets).

Capital investments can be used to create new fixed assets or to reconstruct existing ones.

There is an objective tendency according to which in dynamics, i.e. Over time, the share of capital investments that are directed towards reconstruction, including technical re-equipment of production, is constantly increasing. total amount capital investments.

In this regard, the share of capital investments allocated for the construction of new fixed assets decreases accordingly. The fact is that reconstruction is more cost effective than new construction, since it requires significantly lower costs and is carried out in a shorter time than the construction of new fixed assets.

What is the volume of capital investment and what fixed assets are included in fixed capital? How are fixed capital statistics maintained? Where can I get help in attracting foreign direct investors?

The successful development of any enterprise - be it a large oil production complex or a coffee shop for 10 people - depends on competent financial investments to the company's fixed assets. To get maximum profit tomorrow, you need to take care of it today.

Achieving this goal is realized through investment in fixed capital. I, Denis Kuderin, an investment expert, will talk about what such investments are and how to make them wisely in a new publication.

At the end of the article you will find a review professional companies, which will help you invest money profitably, plus tips on attracting investors.

Let's begin, dear friends!

1. What is investment in fixed capital

Each enterprise has fixed assets, represented by intangible and tangible assets. This includes the company's working capital, profits, real estate and movable property, licenses, patents, shares, other resources. This is the fixed capital.

Investments in fixed assets are aimed at developing the enterprise, its modernization, strengthening its position in the market, and expanding its spheres of influence. The more funds are attracted into fixed capital, the more prospects at the company.

With these funds the organization purchases modern equipment, builds new facilities, expands its staff, and attracts profitable business partners.

(IOC) – investments aimed at acquiring, creating and expanding the company’s fixed assets. Investments in fixed capital increase initial cost enterprise assets. The long-term goal of such investments is the stable development of a specific economic entity.

Since 2001, in Russia, investments in fixed assets have been accounted for without value added tax. Rosstat is responsible for accounting for such investments. The website of this organization presents the volume of investments in the Russian economy for certain periods.

PKIs make up the bulk of the total number of investments of any commercial organization. True, the amount of investment is not constant and depends on the needs and capabilities of an individual enterprise.

Fixed assets represent the means of production. They are used for many production cycles, gradually wearing out and becoming unusable. This is another reason why funds require investment and renewal.

The fixed assets of enterprises include:

• machinery and equipment;
• transport;
• devices, tools;
• structures and buildings;
• land.

Funds not only bring profit to their owners, but also form part of the country’s national wealth, since the well-being of citizens depends on the status of individual economic entities.

The more successful companies develop, the more jobs appear, the more resources are developed, and the more quality goods per capita. Ultimately, the gross national product increases.

Enterprises themselves choose the directions and instruments for investment in fixed capital. Organizations have different needs and wants, but there are also common trends for all economic entities.

Experts identify 4 main areas for financing:

1. Long-term in expansion of production, capital construction, construction of new production facilities.
2. Short-term investments in production assets and projects that are completed before the end of the financial year.
3. Investments in securities (shares, bonds, bills) and loans (the company is the lender).
4. Contributions to intangible assets– patents, licenses, scientific and technological developments.

The main goals of investing are to increase commercial viability and achieve increased profits. If the investment pays off and the enterprise reaches new levels economic development, Means, investment policy the company was organized competently, it is possible to continue to conquer new frontiers.

When attracting funds for investment, companies use their own working capital, third-party assets, loans, financial assistance investors.

Volume of capital investments– an indicator that characterizes in monetary terms the amount of costs for the reproduction and increase of fixed assets.

The following factors influence the return on investment:

• quality and competitiveness of finished products;
• rational use of the enterprise's production capacity;
• competent sale of goods and services (marketing, advertising, pricing policy);
• economical use of the company's financial and labor reserves;
• professional implementation of investment projects.

Investing in fixed assets is not limited to private commercial companies, but also the state. In this case, we are talking about the development of specific sectors of the economy. Investments at the federal level pay off over the years, and sometimes even decades.

Read additional material on investment topics - “”.

2. What are the sources of investment in fixed assets - 3 main sources

Where can I get money to invest? There are 3 main sources of assets for fixed investment.

Let's look at each of them in detail.

Source 1.

Don't have your own funds to develop fixed assets? We attract third-party sources - the state, shareholders, equity holders, co-owners, direct foreign investors interested in promising investments.

Of course, no one will give money just like that. Even charitable foundations invest only in those industries that affect their interests in one way or another. The state also subsidizes such enterprises that affect the overall economic situation in the country.

Example

Federal structures finance enterprises that produce scarce, socially or strategically important products. For example, they support companies producing Russian analogues of foreign drugs.

Loans are given to enterprises developing economically lagging regions and regions - the Far East, Western Siberia, Crimea.

After the introduction of sanctions in 14-15, the share foreign investment V Russian economy decreased by 70%. But some of the largest international corporations continue to invest in financially promising industries. These are mainly raw materials and processing enterprises.

Source 2. Own funds

This main source financing for stable and successful companies. This includes net profit and depreciation charges. The money that is not spent on employee salaries, taxes, production maintenance and other current needs is invested in fixed capital.

Simply hoarding money in bank accounts means losing it. In market conditions, enterprises cannot afford to simply accumulate funds without putting them into circulation. This economic suicide is a sure path to bankruptcy and ruin.

Own funds also include free money of the authorized capital, insurance compensation, assets proceeds from the sale of company shares.

Source 3. Borrowed funds

If the first two sources are not enough, we take loans. Banks are willing to give large loans to stable companies to expand their business. There are specific loan options - for example, leasing. Equipment and expensive equipment are rented with the condition of further purchase of the property.

In addition to banks, loans are issued by the state, other enterprises, foreign companies, private investors.

The table will help you understand what sources of funding are:

Additional information about the principles of competent distribution of investments is in the article “”.

3. How to make capital investments - 5 main steps

Before investing in fixed assets, decide on the long-term purpose of such investments. Think over a strategy, calculate preliminary profitability, evaluate financial opportunities companies.

Investment activity is painstaking work, the results of which often cannot be predicted in advance. The investor’s job is to foresee all the risks, fit into the budget, and correctly distribute cash flows.

Let's consider the main stages of capital investment.

Stage 1. Determination of the volume of investment in fixed capital

We calculate how much money is needed and for how long. Money loves counting, and investment capital- especially.

Large enterprises have financial departments that deal with economic calculations. They will determine the amount of capital investment and at the same time evaluate the return on investment. If there is no such department, it is worth attracting professional consultants from a reliable specialized organization.

Stage 2. Valuation of fixed assets

Will help to evaluate fixed assets accounting documents and special technologies owned by professional specialists.

Data

Every year overall volume investment in fixed capital in Russia is increasing by 1-3%, but according to experts, the growth is partly influenced by inflationary processes in the economy. Many enterprises have a lack of funds for the development of fixed assets.

Regional leaders in terms of investment in fixed capital are the Central District, the Urals and the Volga region.

Stage 3. Drawing up an investment plan

An investment plan is not an abstraction, but a very specific document, broken down into points and tied to specific deadlines. Tools and areas of investment depend on the specifics of the company and economic feasibility.

The plan must indicate the following parameters:

• the ultimate goal of investment;
• monetary value of investment assets;
• project deadlines (implementation schedule);
• payback period of investments;
• estimated income.

Developing a plan is a matter for professional specialists.

Stage 4. Fixed capital financing

We invest money in fixed capital according to the approved plan. In each organization, either a specially formed department or invited specialists are responsible for investment projects. The manager should take control of the final decisions on the project and the distribution of job responsibilities.

Stage 5. Maintaining statistical accounting of fixed capital

Professional accounting of funds is the basis for success. Direct investment in fixed assets requires the investor to directly participate in the process.

This is not buying stocks, bonds, investing in gold, etc. Investing assets and forgetting about them for several months or years will not work.

It is necessary to constantly monitor the implementation of the investment project and check how things are going on the ground. For example, if a new workshop is being built, you need to ensure that contractors purchase high-quality materials and do not steal money.

In progress responsible person works no longer with assets, but with living people. The fate of the company's fixed capital will depend on the rational distribution of responsibilities and competent control.

4. Where to get help with capital investments - review of the TOP 3 brokerage companies

Representatives of small and medium-sized businesses, as well as aspiring entrepreneurs, often use the services of professional intermediaries to achieve investment goals.

We present an overview of the three most reliable in the Russian Federation brokerage companies that will help you manage your money profitably and invest it in the most promising financial instruments.

1) Opening Broker

The year the company was founded is 1995. The total number of clients at the time of writing is 95,000. Last year, the total volume of brokerage transactions on the Moscow Exchange exceeded 14 trillion rubles. Otkritie Broker is a confident leader in the growth of new clients among Russian companies. The company has a huge number of professional awards, prizes, medals and diplomas.

Clients have access to all the most effective modern investment instruments– investments in your own business through the “Discovery” affiliate program, opening a brokerage account and buying and selling securities, assistance in managing the company’s fixed capital. Experts will help you form investment portfolio, will teach beginners the basic skills of profitable investing.

2) BM Invest

The company was founded by private investors who have been multiplying their personal funds since 2006. As we can see, they did this very successfully, since they eventually managed to open their own investment company.

The priority area of ​​activity of BM Invest is professional assistance in the development of small and medium-sized businesses. The company attracts investment from clients and also issues loans for development commercial projects. The organization operates under the supervision of the Central Bank. All company investments are insured.

3) RICOM-TRUST

The company was founded in 1994 and is one of the twenty largest investment companies by the number of active clients. Equity"RICOM-TRUST" - more than 1 billion rubles. The size of assets under management of the company is 3.5 billion. The company operates in the Moscow region and in 10 other regions of the Russian Federation.

Specialists will help enterprises and private traders increase their fixed capital by investing in the most reliable and profitable areas - securities (including shares of the largest American companies), currency, gold and other precious metals.

5. How to attract investment in fixed assets - 5 useful tips

Attracting investment in business is an art. To achieve success, it is not enough to understand economics; you also need to be a psychologist, marketer and negotiator. In order for an investor to become interested in your project, he needs to be captivated.

Tip 1. Use advice from brokerage companies

Act through intermediaries. Today there are dozens of professional exchanges, brokerage firms and companies specializing in attracting investments, both online and offline.

All you need to do is become a client of such a company and submit a ready-made business plan for public consideration. Intermediaries will help you find an investor using their database. Help, of course, is not free, but the reward, if successful, will pay off many times over.

Tip 2. Develop a competent business plan

A professional business plan disciplines the project manager himself and attracts potential investors. Investors must clearly see what the goals of your business are and how to achieve them. If you attach a feasibility study compiled by specialists to the plan, the result will be even more clear.

Capital-forming investments are investments in new construction, expansion, reconstruction, technical re-equipment and maintenance of existing production, as well as investments in the creation of inventories, the increase in working capital and intangible assets.

Capital investments- an integral part of capital-forming investments. They represent costs allocated to the creation and reproduction of fixed assets. Capital investments are a necessary condition for the existence of an enterprise. By neglecting them, a company can increase its profits in the short term, but in the long term this will lead to a loss of profit, the inability of the company to compete in the market.

Capital investments include: costs of construction and installation work; costs for the acquisition of fixed assets (machines, machinery, equipment); costs of R&D, design and survey work, etc.; investments in labor resources; other costs.

Directions for use

The most important areas for using capital investments are:

• new construction, i.e. construction of new enterprises on newly developed areas;
• expansion of existing enterprises through the construction of their second and subsequent stages, commissioning of additional workshops and production facilities, expansion of already functioning main and auxiliary workshops;
• reconstruction, i.e. partial or complete reorganization of production carried out in the course of the enterprise’s activities without the construction of new or expansion of existing main workshops. At the same time, reconstruction includes the expansion of existing and constructed new auxiliary facilities, as well as the construction of new workshops to replace the liquidated ones;
• technical re-equipment of an existing enterprise, i.e. increasing the technical level of individual production areas and units through the introduction of new equipment and technology, mechanization and automation, and modernization processes of worn-out equipment.

The choice by a company of one direction or another of capital investments depends on the goals it pursues when making investments. However, it is often more effective to make capital investments in the reconstruction and technical re-equipment of existing production, which can significantly reduce the time it takes to commission production facilities (as a rule, there is no need to build auxiliary workshops, communications, power lines for water supply systems), with relatively lower capital investments than with construction of new or expansion of existing enterprises. Such costs pay off on average three times faster.

The need for capital investment is driven by long-term sales forecasts, which determine the capacity and shape of production processes, in some cases for many years. For example, the steel and chemical industries contain complex, capital-intensive production processes, so significant increases in their core production capacity can only be achieved by refurbishing existing plants or building new ones. Naturally, decisions on capital investments of this scale are not made often.

In addition to capital investments in capital goods, a firm can also invest in human capital. Investment in human capital is any action that improves the skills and abilities or productivity of workers. These costs can be considered as investments, because current expenses (costs) are carried out with the expectation that these costs will be compensated many times over by an increased flow of income in the future.

Sources of financing

An enterprise making an investment usually has several alternative financing options that are not mutually exclusive and can be used simultaneously, which is often the case in practice.

Structure investment funds the enterprise is important indicator his financial activity.

The classic form of self-financing is own funds enterprises in the form retained earnings and depreciation, which are supplemented by a certain share of the issue of securities and credit received from the loan capital market. The main indicator of the level of self-financing is the self-financing ratio ( K s), which is defined as follows:

Where With with- own funds of the enterprise; B a- budget allocations; P s- involved funds; 3 s - borrowed funds.

The level of self-financing is considered high if the share of own sources of investment reaches 60 percent or more of the total financing of investment costs.

Depreciation charges as a source of investment are of great importance. In modern conditions, there is a need to constantly update fixed assets, which forces enterprises to accelerate the write-off of equipment in order to create savings for subsequent investment in innovation. As a result, depreciation acquires its own forms of existence and movement and ceases to be an expression of the physical depreciation of fixed capital: in this case it turns into an instrument for regulating investment activity. Accelerated depreciation is carried out in two ways. The first is to artificially reduce regulatory deadlines service and a corresponding increase in depreciation rates. The second method characterizes the ability of individual enterprises to make depreciation charges at an increased rate for a number of years with a decrease in them in subsequent years.

In addition to self-financing, such a powerful source of capital as the securities market plays a huge role, although in our country it is still far from being fully used. In addition, the role of borrowed funds, especially bank loans, is increasing.

The activities of the state play an important role in determining the sources of investment and their structure. Through financial (tax depreciation) and monetary policy it directs investment activity in the right direction - either stimulates it or hinders it.

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The volume of capital investments is a general indicator that in monetary terms characterizes the amount of costs for the reproduction of fixed assets as a result of capital construction and the acquisition of equipment not included in the estimates and construction projects. Being a cost indicator, it is formed as the sum of financial costs allocated to the creation and acquisition of fixed assets, and thus characterizes the result of capital investments.

Capital investments in construction

The economic meaning of this indicator allows it to be successfully used not only in the study of the reproduction of fixed assets, but also the economic potential of the country, the directions, pace and scale of development and the placement of the material and technical base of all sectors of the national economy.

Capital construction plans set limits for capital investments and construction and installation work for the national economy as a whole, regions, industries, ministries, departments, etc., down to individual developers. The task of statistics is to establish the actual size of capital investments, to monitor the implementation of current and long-term plans for capital investments at different organizational levels. To solve this important problem, first of all, it is necessary to determine the actual volume of capital investments.

The direct managers of capital investments are developers. The technical supervision departments and accounting departments of developers (OKSakh and UKSakh) concentrate accounting of capital investments. Therefore, developers are the primary reporting units in capital construction statistics, which present data on completed volumes of capital investments according to established reporting forms. Statistical monitoring of the development of capital investments and control over the implementation of capital construction plans begins with developers.

In the practice of planning and statistics, the limits and volumes of actually completed capital investments are expressed by the estimated cost, which is established when designing objects and complexes of fixed assets. For each construction project, an estimate is drawn up along with the project, which contains information about the monetary costs of creating each object separately and the entire construction project as a whole, i.e. estimated cost objects and construction. In this case, cash costs are determined by type of capital investment in accordance with the specifics of the fixed assets being built or acquired.

CONCLUSION

Thus, capital investments are funds from the state, enterprises and individuals allocated for the creation and renewal of fixed assets, reconstruction and technical re-equipment of enterprises. Capital investments play a very important role in the economy of any state. They are the basis for:

· expanded reproductive process;

· acceleration of scientific and technical progress (technical re-equipment and reconstruction of existing enterprises, renewal of fixed production assets, introduction of new equipment and technology);

· improving product quality and ensuring its competitiveness, updating the nomenclature and range of products;

· reducing costs for production and sales of products, increasing the volume of products and profits from their sales.

Investment planning should be preceded by a deep analysis of them economic justification taking into account risk and inflationary processes.

The selection of objects for investment should be made according to the criterion - maximum efficiency with the least expenditure of money and time.

Each capital investment project must have clearly defined goals:

* radical improvement in product quality;

ѕ improvement of its consumer properties, guaranteeing the effectiveness of the product for the consumer on the world market and in the country;

* production of environmentally friendly products;

* improvement of the environment;

* comprehensive processing of raw materials and low-waste or waste-free production;

* accounting for export needs through quantitative indicators.

If none of the set goals is achieved, and the ecology of the site even worsens, then such a project should be abandoned.

In order for the renewal of fixed production assets to take place cyclically (every 5-10 years), it is necessary to solve the problem of organizing the investment process - to compress it in time. This means that each stage or stage of project development, construction, development of production facilities to their full design capacity must be carried out within strictly regulated time frames, and total term The implementation of an investment project (program) should be two to three times less than the time frame during which construction has been carried out in recent decades in our country. This is a big economic problem, since the excessive duration of the investment process reduces the efficiency of capital investments and reduces the replenishment of national income due to investments made in the business.

An important issue in an investment project is choosing the most effective form organization of an existing or new enterprise (specialization, cooperation, diversification, combination, concentration). The choice of the best option must be proven economically. The region and location of new production facilities in many situations are selected using economic and mathematical methods for a group of enterprises for a long-term period.

It is necessary to study the positive and negative experience of organizing production in previous periods of our economy. The best of this experience should be more fully used in the practice of developing productive forces.