An examination of debt financing of growth oriented SMEs in Nigeria

This thesis examines the relationship between Small and Medium-sized Enterprise (SMEs) financing and business growth in Nigeria. Specifically, the research examines the external debt financing needs and debt financing gaps experienced by growth oriented SMEs, the role of finance in SMEs growth and the factors that affect SME financing. In so doing, the study focuses on the supply and demand side perspectives of SME financing including public policy support for growth oriented SMEs. Semi-structured interviews were conducted to collect data on the main financing needs of SMEs and to determine whether they were experiencing debt financing gaps and the nature of such gaps. The research provided empirical evidence which shows that growth oriented SMEs are experiencing debt financing gaps in Nigeria, with the demand side gap being more prominent than the supply side gap. It also established the existence of an association between access to bank finance and SME growth, which determines the important role that external finance plays in SMEs growth in a developing country context. This study makes both theoretical and practical contributions to knowledge. Theoretically, it has contributed by developing an analytical model which improves our understanding of SME debt financing and its impact on the growth oriented SMEs in Nigeria and the African context. In terms of contribution to practice, the research yields useful knowledge which could be used to inform the work of policy-makers and business practitioners in developing and advancing SME financing initiatives in Nigeria and improving the overall relationship between SME owner-managers and providers of debt finance.

Level dc:type.qualificationlevel

PhD thesis

Grantor dc:publisher.institution

Middlesex University

Year dc:date.issued

2018

Author dc:creator

• Maduka, S.

Identifier

oai:repository.mdx.ac.uk:87q66

OAI identifier oai:identifier

oai:repository.mdx.ac.uk:87q66