Availability and Accessibility of Finance to Small Scale Business

By: Abiodun Babalola

Module OneSmall Business and

Significance

Introduction

No single definition fits all

It could be defined based on and it varies from Country to Country:

Number of Employees

Capitalisation

Annual Turnover

Why Does Small Scale Business Matter?What’s Small Scale Business

Why Does Small Scale Business Matter?

99.7% of U.S. employer firms,

63 % of net new private-sector jobs,

48.5 % private-sector employment,

42 of private-sector payroll,

46 % of private-sector output,

37 % of high-tech employment,

98 % of firms exporting goods, and

33 % of exporting value.

Why Does Small Scale Business Matter?

Small businesses make up:

Source: SBA US

Small firms accounted for 63%of the net new jobs created between 1993 and mid-2013 (or 14.3 million of the 22.9 million net new jobs). Since the end of the recession (from mid-2009 to mid-2013), small firms accounted for 60% of the net new jobs. Small firms in the 20-499 employee category led job creation

There were 28.2 million small businesses, and 17,700 firms with 500 employees or more in the United States and account for over 1 trillion dollars annually ?

13 Million in the United Kingdom and account for over 1 billion pounds annually/.

How many do we have in Nigeria?

Why Does Small Scale Business Matter?

Why Does Small Scale Business Matter?

Module Two

Building a Relationship with the People

Date Before You Marry

Know that Business is Personal.

Business is a Team Sport

People do business with people they like not

otherwise.

Why Does Small Scale Business Matter?Process of Financing your Business

Write Your Plans

Start Small, Dream Big

Focus

Identify your priorities

Give room for Mistakes

Why Does Small Scale Business Matter?5 Tips for Successful Business

We live in a day and age of instant gratification. As a result, most people are unwilling to stick with something if they do not see immediate result, because to see a positive cash flow from a business can take a while. Because of this, you need the ability to stick to your plan day-in and day-out, trusting that the results will come.

F.O.C.U.S simply stands for:FollowOneCourse of ActionUntilSuccessful

Why Does Small Scale Business Matter?

Why Does Small Scale Business Matter?Strategies for Business Success

Strategy #1 – You Can’t Make Money If You Don’t Know How to Sell

Strategy #2 – Pursue Your Passion

Strategy #3 – Don’t Be Afraid to Ask for Money

Family and Friends

Micro CreditCooperative Society Ltd

Partnership Equity

Why Does Small Scale Business Matter?Financing Small Scale Business

Opportunity

• Risk as an opportunity refers to the relationship between risk and return. The greater the risk, the greater the potential return and, necessarily, the greater the potential for loss.

Threat

• Risk as a threat refers to the potential for negative events such as financial loss, fraud, damage to reputation or public image, loss of key staff and loss of competitive advantage.

Uncertainty

• Risk as uncertainty refers to the distribution of all possible outcomes both positive and negative. In this context, risk is seen as the divergence between anticipated outcomes and actual results.

Why Does Small Scale Business Matter?Small Business Risk

Thank you

Why Does Small Scale Business Matter?

Questions

Why Does Small Scale Business Matter?