Qualitative analysis into liquidity management by SMEs in the UAE (Published)
Small and Medium Enterprises or commonly referred to as SMEs are an important component of any nation. In the UAE, SMEs account for a large bulk of economic trade as well as provide invaluable job opportunities. Liquidity management is predominantly a key component for the long-term sustenance of any business, let alone SMEs. Lack of persistent liquidity could swindle the business model of the SMEs and could have pernicious effect on doing business in the region. The sinister effect of lack of effective liquidity management tools could be disastrous for the industry as a whole. Hence managing liquidity – both long term and short term, is imperative, especially when sources of liquidity are limited. This paper is an attempt to explore liquidity avenues for SMEs and how do SMEs manage their day-to-day liquidity to meet the going concern requirements. The paper will involve qualitative analysis that involves semi structured interviews with certain SMEs to gauge liquidity management by SMEs in the UAE.
Keywords: Bank, Financing, Liquidity Management, SME, UAE
Effect of Small and Medium Scale Financing on Entrepreneurial Development in Delta State (Published)
The main objective of this study is to examine the effect of small and medium scale financing on entrepreneurial development in Delta State. Three objectives to ascertain the effect of household income on entrepreneurial development; to examine the impact of thrift savings on entrepreneurial development and to determine the effect of loans on entrepreneurial development guided the study. The cross sectional survey research design method was employed. The geographical area for this study was the south-south region in Nigeria. The participants of the study were 215 entrepreneurs in south-south region in Nigeria. The non-probability sampling method was used because the population was large and not easily accessible and the researcher had no control over it. The research instrument was a 16-item validated structured questionnaire, the item measures were based on a five-point likert scale. Primary data were used since data were collected directly from entrepreneurs in south-south region. Data obtained were analyzed using correlation and regression. Findings from multiple regression analysis revealed that household income has significant positive effect on entrepreneurial development (β = .158, P<0.01). The findings also revealed that user thrift savings has significant positive relationship with entrepreneurial development (β = .123, P <0.01).Thus Government should come out with a clear policy on SMEs. There should be a firm choice between state sponsorship without control, autonomy of SMEs without assistance and state sponsorship with control. SMEs are still in their infancy in Nigeria and must therefore be sponsored without government control.
Keywords: Delta State, Entrepreneurial Development, Financing, Small and Medium Scale
Financing Constraints of Small and Medium Enterprises in South-Western Nigeria (Published)
This study focused on the investigation of the financing constraints of small and medium enterprises in South- Western Nigeria. The study determined how high bank changes, high legal documentation fees and collateral securities are related to financing constraints for small and medium enterprises in south- western Nigeria. The study was carried out using a quantities methodology through administration of a structured questionnaire. The data gathered was analyzed using descriptive and inferential statistics such as percentages, correlation analysis and multiple regression, with the aid of statistical package for social science (SPSS) version 20 with a cut off set a p= 0.05 level of significance. The study was conducted in six states of south – west Nigeria that is Lagos, Ogun, Oyo, Osun, Ondo and Ekiti. The result show that high bank charges constitute financing constraint since p-value is < 0.05; there is no significance evidence to conduct that high legal documentation fees is a constraint to financing small and medium enterprises since p-value is > 0.05 and there is positive but weak relationship between collateral securities and financial constraint of small and medium enterprises in south-west Nigeria. This study has contributed to literature on financing constraints of small and medium enterprises
Keywords: Financing, Financing Constraints, Small and Medium Enterprises
Causes of Small Businesses’ Failure: An Exploratory Study within Jeddah’s Governorate in Saudi Arabia (Published)
This study aims to highlight some of the reasons for the failure of small businesses, such as unemployment among Saudi nationals, reliance on expatriate labor, the absence of a regulatory framework, and difficulties in the funding of some financial institutions. Thus, the objectives of the study are: to highlight the important role that small businesses represent in the Saudi economy, to find appropriate solutions for the failure of small business, to create a framework to support the small business, and find financing mechanisms for small business. To achieve the overall objective of the study, a field study was conducted with owners of small businesses within Jeddah’s governorate in the Kingdom of Saudi Arabia. A purpose-designed questionnaire was prepared and sent to participating businessmen. The data gathered from those questionnaires was compiled and statistically analyzed using IBM SPSS Statistics® software package. After pilot testing, a questionnaire was sent to 130 businessmen with 100 completed questionnaires returned (approximately 77%). Data was analyzed by the researcher using frequencies, percentages and Chi- square calculations. The results of the study indicated that poor management, a lack of bank loans and workers training were the most important reasons for failure. The study contains five sections, section I: Introduction to the study and previous studies. Section II: The importance of small projects and the most important contemporary problems and challenges. Section III: Analysis of results of the study. Section V: Conclusions and recommendations. In light of the results of this study, the researcher provided recommendations in order to highlight the factors that lead to, either the failure or success of small businesses.
Keywords: Failure Causes, Financing, Jeddah, SMEs, small businesses
Causes of Small Businesses’ Failure: An Exploratory Study within Jeddah’s Governorate in Saudi Arabia (Published)
This study aims to highlight some of the reasons for the failure of small businesses, such as unemployment among Saudi nationals, reliance on expatriate labor, the absence of a regulatory framework, and difficulties in the funding of some financial institutions. Thus, the objectives of the study are: to highlight the important role that small businesses represent in the Saudi economy, to find appropriate solutions for the failure of small business, to create a framework to support the small business, and find financing mechanisms for small business. To achieve the overall objective of the study, a field study was conducted with owners of small businesses within Jeddah’s governorate in the Kingdom of Saudi Arabia. A purpose-designed questionnaire was prepared and sent to participating businessmen. The data gathered from those questionnaires was compiled and statistically analyzed using IBM SPSS Statistics® software package. After pilot testing, a questionnaire was sent to 130 businessmen with 100 completed questionnaires returned (approximately 77%). Data was analyzed by the researcher using frequencies, percentages and Chi- square calculations. The results of the study indicated that poor management, a lack of bank loans and workers training were the most important reasons for failure. The study contains five sections, section I: Introduction to the study and previous studies. Section II: The importance of small projects and the most important contemporary problems and challenges. Section III: Analysis of results of the study. Section V: Conclusions and recommendations. In light of the results of this study, the researcher provided recommendations in order to highlight the factors that lead to, either the failure or success of small businesses.
Keywords: Failure Causes, Financing, Jeddah, SMEs, small businesses