Challenges Facing Small Businesses in Kenya
Challenges facing small business in Kenya
|Indeed,to come with a logical definition of a small scale business is not that easy.It is dependent of quantity of output,say number of |
|employees,stakeholders and also varies from one industry or firm to any other. |
|A small scale business I can assert to be managed in sole proprietorship or partnership and whose output is relatively small. Since colonial |
|times,Kenya has had mushrooming small scale businesses and it has been significant to the very survival of many inhabiting this country. |
|Asians, for instance, started small shops dating 1950's where two to three Africans had their employment and could earn something small and |
|this has always been the behavior to date. |
|There are various challenges that has hampered progress in such trading systems in terms of expansion, service provisions, its running, |
|credit availability among others. These include :- |
| |
|a)Financial Constraints |
| |
|Finance has made it difficult to progress and provide quality services.For example, many such micro businesses, as some call them,deal with |
|primary products and readily available cheap resources. Financial institutions find it hard to consider lending loans to them as no |
|securities would warrant the repayment or fine subject to breach of
|Indeed,to come with a logical definition of a small scale business is not that easy.It is dependent of quantity of output,say number of |
|employees,stakeholders and also varies from one industry or firm to any other. |
|A small scale business I can assert to be managed in sole proprietorship or partnership and whose output is relatively small. Since colonial |
|times,Kenya has had mushrooming small scale businesses and it has been significant to the very survival of many inhabiting this country. |
|Asians, for instance, started small shops dating 1950's where two to three Africans had their employment and could earn something small and |
|this has always been the behavior to date. |
|There are various challenges that has hampered progress in such trading systems in terms of expansion, service provisions, its running, |
|credit availability among others. These include :- |
| |
|a)Financial Constraints |
| |
|Finance has made it difficult to progress and provide quality services.For example, many such micro businesses, as some call them,deal with |
|primary products and readily available cheap resources. Financial institutions find it hard to consider lending loans to them as no |
|securities would warrant the repayment or fine subject to breach of