Forming effective innovation mechanisms in the economy of Kazakhstan using the potential of smallbusiness is a pressing problem and the fact that the accumulated experience of industrialized and post-industrialcountries focused on the development of market economy relations certainly shows that small business is a necessarycondition for achieving economic success and is the main engine of innovation development. All structures areinterested in the development of such a sector of the economy, since small business is the basis on which the entireeconomic pyramid will be created, which can provide jobs for a significant part of the population and form themiddle class of society. From this it follows that the faster a significant stratum of small business entities is createdwithin the state, the more actively the model of an effective market economy will develop, including theimplementation of the tasks of economic restructuring and transition to a new level of technological structure.