Publication: The Influence of Financial Resources on the Success of Start-up Business in Kenya
Total Views 3
total viewsTotal Downloads 4
total downloadsDate
2017-09
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
International Journal of Management & Social Sciences
Cite this Item
Abstract
It is true that no new business succeeds without a detailed and thorough business plan. A complete
plan identifies and quantifies the capital that is likely to be required to reach break-even and
beyond. Accounting as a business function and innovative activity has to be understood by
entrepreneurs as it provides clear picture of the business success. The purpose of this study is
therefore to examine the relationship that exists between availability of financial resources and
success of new startup business. The objectives were to examine financial sources influencing
success of startup business. Government programmes in place, motivating factors as well as
obstacles to success of startup business. The study adopted quantitative and qualitative
approaches where descriptive design was used to achieve the study objectives. A sample of 25 was
taken from the study area. A questionnaire was used as a research instrument for this study. The
study found out that majority of new business use family and friends loan to finance their business.
Majority disagreed that there are government programmes that support startup business. Access
to finance and legal regulations posted as the most obstacles business is facing. Majority of
respondents also reported that opportunity of having job and earning money as the main
motivating factor to start new business. The study recommends the government should come up
with new innovative programmes that will support startup business. The study concludes that for
any business to succeed, regardless of industry or size, has to identify proper sources of finance
with government support and proper accounting tools needs to be adopted.