Finance
Availability of enough funds was found to play a very important role in ensuring success
of the WGs MSEs. Lack of enough funds has contributed significantly to the MSEs
failure. In fact, the stakeholders agreed that funding for WGs MSEs was poor, which led
to poor financial base. Only five per cent of the sampled WGs indicated commercial banks
as a minor source of funding for the MSEs. The rest do not borrow from the banks at all
due to lack of collateral, high interest rate, and general fear of getting a loan. Furthermore,
96 per cent of the WGs’ MSEs operate bank accounts, some with only minimum account
balances and yet they pay bank charges which they consider to be quite high.
FinanceAvailability of enough funds was found to play a very important role in ensuring successof the WGs MSEs. Lack of enough funds has contributed significantly to the MSEsfailure. In fact, the stakeholders agreed that funding for WGs MSEs was poor, which ledto poor financial base. Only five per cent of the sampled WGs indicated commercial banksas a minor source of funding for the MSEs. The rest do not borrow from the banks at alldue to lack of collateral, high interest rate, and general fear of getting a loan. Furthermore,96 per cent of the WGs’ MSEs operate bank accounts, some with only minimum accountbalances and yet they pay bank charges which they consider to be quite high.
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