This document discusses the importance and financing of small businesses. It notes that small businesses make up over 99% of businesses in countries like the US and UK, and are responsible for over half of net new jobs and private sector output. Access to financing is important for small businesses to start and grow. Some financing options discussed include obtaining money from family and friends, microcredit, cooperative societies, limited partnerships, and equity financing. The document also covers strategies for small business success like learning to sell, pursuing your passion, and asking for money when needed. It defines risk for small businesses as an opportunity, threat, or uncertainty and stresses the importance of sticking to a business plan until it is successful.

1. Availability and Accessibility of
Finance to Small Scale Business
By: Abiodun Babalola

2. Module One
Small Business and Significance

3. Introduction

4. No single definition fits all
It could be defined based on and it varies from Country to Country:
 Number of Employees
 Capitalisation
 Annual Turnover
Why Does Small Scale Business Matter?What’s Small Scale Business

5. Why Does Small Scale Business Matter?
 99.7% of U.S. employer firms,
 63 % of net new private-sector jobs,
 48.5 % private-sector employment,
 42 of private-sector payroll,
 46 % of private-sector output,
 37 % of high-tech employment,
 98 % of firms exporting goods, and
 33 % of exporting value.
Why Does Small Scale Business Matter?
Small businesses make up:
Source: SBA US

6. Small firms accounted for 63%of the net new jobs created between 1993 and mid-
2013 (or 14.3 million of the 22.9 million net new jobs). Since the end of the
recession (from mid-2009 to mid-2013), small firms accounted for 60% of the net
new jobs. Small firms in the 20-499 employee category led job creation
 There were 28.2 million small businesses, and 17,700 firms with 500
employees or more in the United States and account for over 1 trillion dollars
annually ?
 13 Million in the United Kingdom and account for over 1 billion pounds
annually/.
How many do we have in Nigeria?
Why Does Small Scale Business Matter?

7. Why Does Small Scale Business Matter?
Module Two

8. Building a Relationship with the People
Date Before You Marry
Know that Business is Personal.
Business is a Team Sport
People do business with people they like not otherwise.
Why Does Small Scale Business Matter?Process of Financing your Business

9.  Write Your Plans
 Start Small, Dream Big
 Focus
 Identify your priorities
 Give room for Mistakes
Why Does Small Scale Business Matter?5 Tips for Successful Business

10. We live in a day and age of instant gratification. As a result, most people
are unwilling to stick with something if they do not see immediate result,
because to see a positive cash flow from a business can take a while.
Because of this, you need the ability to stick to your plan day-in and day-
out, trusting that the results will come.
F.O.C.U.S simply stands for:
Follow
One
Course of Action
Until
Successful
Why Does Small Scale Business Matter?

11. Why Does Small Scale Business Matter?Strategies for Business Success
Strategy #1 – You Can’t Make Money If You Don’t Know How to Sell
Strategy #2 – Pursue Your Passion
Strategy #3 – Don’t Be Afraid to Ask for Money

12. Family and Friends
Micro Credit
Cooperative Society
Ltd
Partnership Equity
Why Does Small Scale Business Matter?Financing Small Scale Business

13. Opportunity
• Risk as an opportunity
refers to the relationship
between risk and return.
The greater the risk, the
greater the potential
return and, necessarily,
the greater the potential
for loss.
Threat
• Risk as a threat refers to
the potential for negative
events such as financial
loss, fraud, damage to
reputation or public
image, loss of key staff
and loss of competitive
advantage.
Uncertainty
• Risk as uncertainty refers
to the distribution of all
possible outcomes both
positive and negative. In this
context, risk is seen as the
divergence between
anticipated outcomes and
actual results.
Why Does Small Scale Business Matter?Small Business Risk

14. Thank you
Why Does Small Scale Business Matter?

15. Questions
Why Does Small Scale Business Matter?