Analysis of Factor Influencing Access to Finance and its Availability for SMEs in Addis Ababa
| dc.contributor.advisor | Degefe, Duressa (PhD) | |
| dc.contributor.author | Ayalneh, Menberu | |
| dc.date.accessioned | 2018-11-01T13:39:02Z | |
| dc.date.accessioned | 2023-11-04T07:58:55Z | |
| dc.date.available | 2018-11-01T13:39:02Z | |
| dc.date.available | 2023-11-04T07:58:55Z | |
| dc.date.issued | 2018-05 | |
| dc.description | A Thesis Submitted to the Department of Accounting and Finance of Addis Ababa University in Partial Fulfillment of the Requirements for the Degree of Master of Science in Accounting and Finance | en_US |
| dc.description.abstract | This thesis aims at investigating the factors influencing of access to finance and its availability for Small and Medium Scale Enterprises (SMEs) in the Addis Ababa by using both survey and econometric methods. Specifically, the thesis assesses the impact of firm characteristics, collateral requirement, cost of borrowing and awareness of funding opportunity on the accesses to finance and its availability. The study employs mixed methods research approach. The quantitative aspect of the study is based on survey of a randomly selected 204 SMEs owner/manager, shareholders and employee/manager and 50 participants from six banks and seven MFIs employee in Addis Ababa. While the qualitative component employs review of relevant documents related to accesses to finance in Ethiopia. The outcome of a study reveal that firm characteristics, collateral requirement, cost of borrowing and awareness of funding opportunity have a significant relationship with the accesses to finance and its availability. Furthermore, the result from descriptive nature of structured questioner confirmed that all factors in this research have impact on the accesses to finance and its availability. It also revealed that SMEs use their own savings and profit as well as “ekub” as a major source of finance beside banks and MFIs contribution. Having in adequate collateral, lengthy process of loan and high interest rate are discovered as major obstacles to have loan from Banks and MFIs. These findings expected to help both parties SMEs as well as financial source providers in the development of appropriate strategies in filling the gap towards certain mutual benefit on collateral requirement and interest rate that contributes in growth of the nation as well to the economy. | en_US |
| dc.identifier.uri | http://etd.aau.edu.et/handle/123456789/13623 | |
| dc.language.iso | en_US | en_US |
| dc.publisher | Addis Ababa University | en_US |
| dc.subject | Accesses to finance and its availability | en_US |
| dc.subject | Firm characteristics | en_US |
| dc.subject | SMEs | en_US |
| dc.title | Analysis of Factor Influencing Access to Finance and its Availability for SMEs in Addis Ababa | en_US |
| dc.type | Thesis | en_US |