Effects of multiple taxation on the performance of small and. Problems, issues and challenges of smes in nigeria. Pdf issues, challengesand prospectsof small and medium scale. Lagos state is one of the 36 states in nigeria, created on 29 may, 1967 at the. Thandile gubevu and darrell beghin, for facilitating the overall project exercise and the useful comments on the draft report that helped shape the format of. Small and medium scale enterprises are the engine of growth and catalyst for socioeconomic transformation of any country, especially in a developing country like nigeria. The impact of small and medium scale enterprises on economic. By abiodun fatai1 department of political science, faculty of social sciences lagos state university, ojo, lagos nigeria. Problems of smes in nigeria high cost of doing business.
Problems of entrepreneurship development in nigeria. Financial management challenges in small and mediumsized enterprises. What are the problems faced by small scale industries in india. This article is necessary because of the increasing rate of unemployment in the nigerian society and the inability of smes in the country to generate employment. Small and mediumsized enterprises smes account for over 95% of firms and 60%70% of employment and generate a large share of new jobs in oecd economies. This study, small and medium scale enterprises smes in nigeria. The researcher narrowed it down to the number of registered small and medium scale enterprises in kaduna metropolis where the sample size was determined. The establishment of smieis was informed by the lingering problems of the dearth of longterm funding and poor business management skills which have inhibited the realization of the potentials of the small and mediumscale industries as the engine of growth in the nigerian economy, despite the. Problems and prospects, was undertaken to find out if the sme subsector in nigeria has performed its critical role of driving the countrys industrial transformation and development as it has done in other developed countries. Effect of globalization on the performance of small and.
Investment scheme smieis defines sme as any enterprises with a maximum asset based of n200. Its causes and solutions with a study of selected companies in enugu state is conducted to proffer solutions by way of recommendations to the problems of small scale. Pdf impact of small and medium scale enterprises on. Small and medium scale enterprises smes and nigerias economic development article pdf available in mediterranean journal of social sciences 57. The study aimed at assessing the performance of business enterprises in nigeria, finding out if tax payers are aware of all their tax obligations, policies and problems affecting them as well as their. Abstracta business whether small or big, simple of complex, private or public is created to provide competitive prices. Assessment of challenges facing small and medium enterprises. Small and medium enterprises development agency of nigeria 35 port harcourt crescent, federal capital territory, area. This study is on the effects of multiple taxation on the performance of small and medium scale enterprises smes. Problems of funding small and medium scale enterprises in. Challenges faced by the small and medium enterprises smes in malaysia. Role of small and medium scale enterprises in the nigerian economy includes abstract and chapter one, complete project material available role of small and medium scale enterprises in the nigerian economya case study of anzy shoes nigeria limited aba abia stateproposalthis project topic titled the role of small and medium scale enterprises in the nigerian economy with a. All business operations would stand still if finance is not adequate to handle it. Issues, challenges and prospects of small and medium.
Honohan and beck 2007 suggest that the concerns of banks should be taken into consideration in developing financial support policies for small businesses. Abstract small and medium scale enterprises have long believed to be catalysts for economic growth and national development both in developed. Finance is a functional area of business without which enterprises could not survive. The study was carried out to find out the impact of taxes on small and medium scale business enterprises in nigeria. A great percentage of all registered companies in nigeria are constituted by small scale industries and they have been in existence for a long time ayozie, 2006. The problems and prospects of small and medium scale.
Over the years, small and medium scale enterprises have been an avenue of job creation and the empowerment of nigerias citizen, providing about 50% of all jobs in nigeria and also for local capital formation. One of the major problems facing nigeria today is unemployment. Mohammed sani abdullahi1, 1balarabe abubakar jakada2, salwa kabir. Problems of funding small and medium scale enterprises in nigeria 1. Lagos served as nigerias capital from 1960 until 12th december, 1991.
One of the major constraints of small and medium scale enterprises in nigeria. Establishment of small and medium scale enterprises smes is largely seen as a possible panacea to ameliorating the impact of unemployment in the society. Financial management challenges in small and mediumsized. Policies to address this problem should be established with input from lending institutions. In nigeria, the small and medium industries enterprises.
The paper examined small and medium scale enterprises in nigeria and in relation to those challenges which affects smes from developing capacity to realizing. Micro, small and medium enterprises msmes with the introduction of msmed act, 2006. Small enterprises in ghana are said to be a characteristic feature of the production. The study identified the sources of finance, types of finance available to small scale enterprises and the various financial challenges bedevilling the smooth operation of small and medium scale enterprises and suggested the way forward. Small and medium scale enterprises smes in nigeria the marketing interface. A survey research design was adopted to obtain data from 150 respondents comprising of traders, artisans, production factories and other. The nigerian government is turning to small and medium scale industries and entrepreneurs as a means of developing the economy and solving problems latinwo and ayozie, 2010.
This research work on the failure of smallscale business in nigeria. However, the national board of small scale industries nbssi in ghana applies both the fixed asset and number of employees criteria. Enterprises subsector of the nigerian economy, its problems and prospects. Small and medium scale enterprises, sme operators, lagos city, nigeria. The current paper is an attempt to critically analyze the definitional aspect of msmes and explore the opportunities enjoyed and the constraints faced by them in the era of globalization. These problems, as identified by the small and medium enterprises development agency of nigeria smedan and other similar. Due to their significant role in creation of new jobs, rise in gdp, entrepreneurship and innovation, small and mediumsized enterprises smes are recognized as the the drivers of socioeconomic growth, both in developed and. This study is on the effect of multiple taxation on the performance of small and medium scale enterprises.
Over the years, small and medium scale enterprises smes have been an avenue of job creation and the empowerment of nigerian citizens, providing about 50% of all jobs in nigeria and also for local capital formation. In order to further promote the growth of small and medium scale enterprises in nigeria the federal government of nigeria also negotiated additional financial assistance from the world bank to complement other sources of funds available to small and medium scale enterprises. Challenges affecting the performance of small and medium scale enterprises smes in nigeria. The small and medium scale industry is seen as a key to nigerias growth and. The study will specifically examine the problems of funding as experienced by the small and micro enterprises smes within lagos. Effect of multiple taxation on the performance of small and. Definition changes over time, owing to changes in price level, advances in technology and other.
Problems and prospect of small and medium scale enterprises. Challenges of finance and the performance of small and. This study covered the problems and prospects of some selected small and medium scale enterprises smes in nigeria. Prospects and challenges of smes in 21st century africa. Issues, challenges and prospects of small and medium scale. Also to study its objectives, challenges, problems and constrains militating against the small and medium enterprises smes in nigeria and find a way to solving it having in mind that the main beneficiary of this project is the masses of this country and the investors, though government will also benefit from it through tax etc. The article discusses issues, challenges, and problems of small and medium scale enterprises smes in nigeria. Operating systems accounting, management, manual, etc xi. Mar 05, 2019 the researcher narrowed it down to the number of registered small and medium scale enterprises in kaduna metropolis where the sample size was determined. Also to study its objectives, challenges, problems and constrains militating against the small and medium enterprises smes in nigeria and find a way to solving it having in mind that the main beneficiary of this project is the masses of this country and the investors, though government will also benefit from it. Ekpenyong and others published small and medium scale enterprises in nigeria. Pdf small and medium scale enterprises smes and nigerias.
This article investigates the numerous problems and challenges against the growth and development of small and medium enterprises in nigeria. This study is on the quantitative impact of small and medium scale enterprises smes on nigerias economic growth performance for the sample period 1993 to 2011. Issues, challenges and prospects of small and medium scale enterprises smes in portharcourt city, nigeria by 1dr. Some of these problems can be attributed to poor state of infrastructure. Nevertheless, the study also found among others that mfis services outreach to smes at present is poor. Small and medium scale enterprises smes are generally. World bank facilities for small and medium scale enterprises. Problems of small and medium enterprises in nigeria. Cletus izunwanne emeti abstract the paper discussed issues, challenges and prospects of small and medium scale enterprises smes in portharcourtcity, nigeria. Importance of small and medium enterprises in nigeria.
The examined the effect of globalization on the performance of small and medium scale enterprises in nigeria. This paper examined the problems of funding small and medium scale enterprises in nigeria. Factors affecting smallscale business performance and development joined economic, psychological, social and other factors which influence the characteristics and development of entrepreneurship, as well as entrepreneurial behaviour. The econometric technique adopted for the study was multiple regression method based on ordinary least squares technique. As shown in table 2 below, a recent national bureau of statistics nbssmedan survey of msmes reported that 73. Constraints of small and medium scale enterprises in nigeria by. In caring out the study, a qualitative research method was used. Role of small and medium scale enterprises in the nigerian economy includes abstract and chapter one, complete project material available role of small and medium scale enterprises in the nigerian economya case study of anzy shoes nigeria limited aba abia stateproposalthis project topic titled the role of small and medium scale enterprises. The proposed researcher intends to research on some questions being asked by people concerning the overall management of the small and medium enterprises in nigeria and problems militating against the small and medium enterprises in nigeria, knowing why such question is being asked and find a way of making contribution towards the solving of. This study examined the impact of smes on employment generation in plateau state, nigeria. Over the years, small and medium scale enterprises have been an avenue of job creation and the empowerment of nigerias citizen, providing about. Furthermore, aiyedun 2004 stress that in nigeria, micro and small business enterprises such as those in business of restaurant, beverages, cafe and bakeries etc by the nature of their activities and locations, often transgress health and hygiene laws, traffic rules and.
One of the major challenges faced by small and medium scale enterprise in nigeria is the high cost of running their business operations. Their research revealed that mfis does and could contribute to the sustainable growth of smes in the country. Garki area 11, abuja small scale business in nigeria, a bedrock to the nigerian economy,the impact of small business on nigeria,financing options for. They have specific strengths and weaknesses that may require special policy responses. This study examined the problems of finance facing small and medium scale enterprises in nigeria. This study examines the impact of smes on economic development of ekiti state 200620. Problems and prospects, was undertaken to find out if the sme subsector in nigeria has performed its critical role of driving the countrys industrial transformation and development as it. Problems of small and medium scale enterprises smes in nigeria a number of problems beset smes and they include. Small and medium scale enterprises smes has proved to be a major intervention in resolving the problems of poverty and unemployment in most developing countries. Small and medium sized enterprises has drawn a lot of interest among scholars, policy makers, business meant and. There is no universal definition of small scale industry.
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