Evaluation of Small Scale Enterprises' Financing Options in Ilorin, Nigeria


Abiara S. J* and Arosanyin G. T 


Full Length Research Paper


Department of Economics, University of Ilorin, Ilorin



Accepted 27, October 2016


This study evaluated the Small Scale Enterprises' financing options in Ilorin, Nigeria. The objective of the study is to evaluate the financing options available to and accessed by Small Scale Enterprise (SSE) in Ilorin metropolis; and examined the significant level of financing options accessed by the SSE with a view to optimizing their finance. A modified multinomial logit regression was used to attain this objective. Result indicated that the Small Scale Entrepreneurs accessed the financing options at 63.9% in category one with odds of 1.77, less financing options at 22.0 per cent in category two with odds of 2.8 and least accessed at 14.1% in category three with odds of 0.16 for their start-up capital. A unit increase in any of these variables will improve the entrepreneur’s finance. There should be efficiency as both equity and debt finance are assessed by the entrepreneur, coupled with attractive access to bank credit and government’s genuine regulation are made.

Keywords: Small Scale Enterprises, financing options, evaluation, Ilorin, Nigeria