Performance of Small and Medium Enterprises in Lagos State: The Implications of Finance

Abosede Julius Adebiyi (), Hassan Ally Banjo () and Oko-Oza Omonze Regin ()
Additional contact information
Abosede Julius Adebiyi: Olabisi Onabanjo University
Hassan Ally Banjo: Olabisi Onabanjo University
Oko-Oza Omonze Regin: Olabisi Onabanjo University

Acta Universitatis Danubius. OEconomica, 2017, issue 13(5), 72-83

Abstract: The main aim of this study is to examine the impact of finance on the performance of small and medium enterprises in Lagos State. The research design adopted for this study is survey research design. Data analysis and hypotheses test from 250 SME owners and operators using Pearson correlation and regression analysis indicate that, there is a relationship between SME finance and business performance. Limited information on loan qualification criteria and high interest rate mostly pose challenge to SMEs in their quest to access finance. Results also show there is significant relationship between financial management practices and the performance of SMEs. Sequel to findings of the study, it is recommended that government Flexible arrangements should be put in place for SMEs in Lagos State to enable them access fund. Government should find way to encourage financial institution to lend to SMEs by providing guarantees, interest rate subsidies and other incentives.

Keywords: SMEs; Finance; Financial management; Performance (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://journals.univ-danubius.ro/index.php/oeconomica/article/view/4049/4209 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:dug:actaec:y:2017:i:5:p:72-83

Access Statistics for this article

More articles in Acta Universitatis Danubius. OEconomica from Danubius University of Galati Contact information at EDIRC.
Bibliographic data for series maintained by Daniela Robu ().