The article deals with the improvement of innovative forms as a tool for effective development of small business and as integral part of innovation in any enterprise, which strives to become market leader. Thus, the article aims at improving innovative forms of small business development based on the presented methodology. In the framework of set goal, it is necessary to consider the concept of small business innovation activity based on scientific approaches. This requires solving the following tasks:Presenting conceptual studies and publications in the innovation field;Considering the dynamics of small business innovation in the national economy as well as innovative activity of small business entities;Studying the dynamics of the global innovation index as well as the strengths and weaknesses of innovations in small business in Russia for 2016;By giving the recommendations for practical application and further improvement of innovative forms as a tool for effective development of small business, by involving the use of innovative state institutions.

Kamil R. Bibarsov Et Al (2017). Improvement of Innovative Forms as a Tool for Effective Development of Small Business, European Research Studies Journal Volume XX Issue 2B, 98-110