Subject: Enhancement of Financing Methods for Innovative Projects Within Business Entities

This article is devoted to the issues of fundamental revision of the financing system of innovative activities of business entities and improvement of its methodological foundations. The study analyzed the specific characteristics of innovative projects - high risk, uncertainty, and long-term payback period of investments. Within the framework of the article, the shortcomings of existing financial instruments are revealed, and optimal models of financing innovative projects at different stages of their life cycle are proposed. Also, scientific and practical recommendations on increasing the efficiency of financing by attracting venture capital and public-private partnerships have been developed.