Long term Financing and Development of Small and Medium Enterprises in Uganda: A case study of MPK GRAPHICS Sabiiti Mulema

Long term Financing and Development of Small and Medium Enterprises in Uganda: A case study of MPK GRAPHICS

Author (s): 

Sabiiti Mulema

Abstract

The study intended to identify how long-term financing influences development of Small and Medium enterprises (SMEs). It focused on MPK Graphics as a case study. The purpose of the study was to establish the impact of long-term financing on development of SMEs in Uganda. The research design was descriptive and the study used both quantitative and qualitative research approach. Stratified and purposive samplings were used to select respondents. The data collected was analyzed using SPSS version 22.0. Descriptive analysis was used to draw the picture of the respondents, Pearson correlation was used to test the relationship between the study variables, while regression analysis was used to test the effect between the variables of the study. Therefore, factor analysis was employed to determine long-term financing dimensions in small and medium enterprises in Uganda. The major findings of the study were that there was a positive relationship between Long term financing and Development of SMEs in Uganda (r = 0.751, P-value < 0.01); a positive relationship between financial performance and Development of SMEs in Uganda (r = 0.436, P-value < 0.01) and showed (R= 0.810) in a combination of Long term financing, financial performance in assessing the level to which they can predict the level of Development of SMEs in Uganda. These variables explained 59.7 per cent of the variance of Development of SMEs (R Square =.597). The most influential predictor of Development of SMEs was Long term financing (β = .622, Sig. 294). Long-term finance frequently defined as all funding for a time frame exceeding one year may contribute to faster growth, greater welfare, shared prosperity, and enduring stability in two important ways: by reducing rollover risks for borrowers, thereby lengthening the horizon of investments and improving performance.

Key words: Long-term Financing, Small and Medium Enterprises, SME Development, MPK GRPHICS, Uganda.

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Title:

Long term Financing and Development of Small and Medium Enterprises in Uganda: A case study of MPK GRAPHICS

Author:

Sabiiti Mulema

Journal Name: International Journal of Science and Business
Website: ijsab.com
ISSN: ISSN 2520-4750 (Online), ISSN 2521-3040 (Print)
DOI: https://doi.org/10.5281/zenodo.3236425
Media: Online
Volume: 3
Issue: 3
Acceptance Date: 29/05/2019
Date of Publication: 01/06/2019
PDF URL: http://ijsab.com/wp-content/uploads/369.pdf
Free download: Available
Page: 310-325
First Page: 310
Last Page: 325
Paper Type: Research Paper
Current Status: Published

Cite This Article:

Mulema, S. (2019). Long term Financing and Development of Small and Medium Enterprises in Uganda: A case study of MPK GRAPHICS. International Journal of Science and Business, 3(3), 310-325. doi: https://doi.org/10.5281/zenodo.3236425

Retrieved from http://ijsab.com/wp-content/uploads/369.pdf

 

About Author (s)

Sabiiti Mulema, MBA-Management, St. Augustine International University, Kampala-Uganda.

 

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DOI: https://doi.org/10.5281/zenodo.3236425

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