Networks, Start-Up Capital and Women's Entrepreneurial Performance in Africa: Evidence from Eswatini

Zuzana Brixiová Schwidrowski and Thierry Kangoye ()
Additional contact information
Thierry Kangoye: African Development Bank

No 12198, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper analyzes the role of networks in access of women entrepreneurs to start-up capital and firm performance in Eswatini, a country with one of the highest female unemployment rates in Africa. The paper first shows that higher initial capital is associated with better sales performance for both men and women entrepreneurs. Women entrepreneurs start their firms with smaller start-up capital than men and are more likely to fund it from their own sources, which reduces the size of their firm and sales level. However, women with higher education start their firms with more capital than their less educated counterparts. Moreover, women who receive support from professional networks have higher initial capital, while those trained in financial literacy more often access external funding sources, including through their networks.

Keywords: networks; start-up capital; multivariate analysis; Africa (search for similar items in EconPapers)
JEL-codes: L53 O12 (search for similar items in EconPapers)
Pages: 19 pages
Date: 2019-03
New Economics Papers: this item is included in nep-bec, nep-cse, nep-ent, nep-fle, nep-sbm and nep-soc
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Published - published in: A. Bullough, D. Hechavarria, C. Brush and L. Edelman (eds.), Programs, Policies, & Practices: Fostering High-Growth Women’s Entrepreneurship, Edward Elgar Publishing, 2019

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Related works:
Working Paper: Networks, start-up capital and women's entrepreneurial performance in Africa: Evidence from Eswatini (2019)
Working Paper: Networks, Start-up Capital and Women’s Entrepreneurial Performance in Africa: Evidence from Eswatini (2019)
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