Principals of budget preparation for SME's in Turkey and an application

SME's which have an important place in term of number and employment in Turkey's economy has to protect and develop their current position to find a place in the world where globalization spreads rapidly. Along with globalization, the tendency of the countries to disappear from the world scale by their political, sociological, cultural and economic aspects is increasing rapidly. Competition has also reached the highest level with the expansion on inter- country economic market, with in turn increase the pressure on businesses. The terms of Market become global. When we talk about market, it cannot be limited only with one country, it includes whole world economy. In order to adapt to whole these innovations businesses have to increase their flexibility and improve their professionalism. Firms which cannot adapt are adversely affected while businesses that are fast in the competitive strategy and with high flexibility can survive. Organization, plan and control minimize negativity. The aim of this study is to present the budget preparation processes of SME's, which are the backbone of Turkey, and the problems that may be experienced in this process, by examining current developments in the light of definitions and applications in the literature. A detailed study has been carried out on the principles of budget preparation for SMEs that make up our country's dinamos in the study and the narration has been reinforced with an exemplary application from the textile sector. As a result of the study, it seems that the budget practices are not made or incomplete by the enterprises because of the long and costly preparation and implementation phase. Businesses will not be able to achieve their vision and mission without budgeting, planning and control work. Key Words: SME, Cost Accounting, Budgeting, Planning, Control.