Abstract:
Small and Medium Scale Enterprises (SMEs) are the backbone of every
economy and are key source of economic growth, dynamism and flexibility in
advanced industrialized countries, as well as in emerging and developing
economies. SMEs constitute the dominant form of business organization,
accounting for over 95% and up to 99% of enterprises depending on the
country (Osagie 2004:25). They are responsible for between 60-70% net job
creations in less-developed or developing countries.
While not every small business turns into a multinational, they all face
the same issue in their early days – finding the money to enable them to start
and build up the business. It is harder for them to borrow money from banks
or finding private investors than for larger firms.
