Browsing by Author "Benson Kusuro"

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    Credit Financing and the Financial Performance of Selected SMEs in Kapchorwa Municipality
    (Uganda Christian University, 2024-06-21) Benson Kusuro
    The study set out to find out the effect of credit financing on performance of SMEs in Uganda, with Kapchorwa Municipality. The study adopted a descriptive research design and survey designs, which helped in collecting and analysing qualitative and quantitative data. A sample of 70 participants was selected from a target population of 80 subjects who were purposively and randomly selected. The study used both structured and unstructured questionnaires, and an open-ended interview guide to collect data. The results showed that trade credit is mostly preferred by the SMEs as the means of financing the business operations. The study also had some limitations like limited time for the study, constraints in convening the respondents for focus group discussions (fgd), fear of being allowed to access confidential data especially data related to financial statements, loan performance reports and many others. The study concluded that credit financing has a significant impact on the financial performance of SMEs. As a recommendation on long-term loans, this study recommends that policy support for financial institutions should emphasize the training of various enterprises so as to them comprehensively to use the available long-term loan services to better their growth opportunities. On short-term loans, the researcher recommends financial institutions to incorporate in their programs a pronounced aspect of training about how best their clients could utilize the available services especially given the fact that this is for the end of enhancing entrepreneurs in the area and finally the study recommends that given trade credit seems to appeal most of the enterprises in the region, financial institutions could consider having some promotions that specifically target other enterprises that have not yet embraced trade credit to do so in order to enhance their financial performance.