Title: SME access to bank finance in an emerging economy: the role of information management practices

Authors: Noel Tagoe, Ebenezer Anuwa-Amarh, Ernest Nyarko

Addresses: Department of Management, HUMSS Building, University of Reading, Whiteknights, Reading RG6 6AH, UK. ' Centre for Development Studies, University College Dublin, Belfield, Dublin 4, Ireland. ' Equity Investments, Social Security and National Insurance Trust (SSNIT), Accra, Ghana

Abstract: This paper reports the findings of a study that examined the relationship between information management practices of small and medium size enterprises (SMEs) and their access to bank finance. Data were collected with a researcher-administered questionnaire and analysed using non-parametric correlation tests. It was found that SMEs that keep records and present certain types of information improve their access to bank finance. Other factors, such as the age of the SME and the context within which it operates, play very minor roles in determining access to finance.

Keywords: bank finance; access to finance; information asymmetry; information management practices; pecking order theory; SMEs; small and medium-sized entries; emerging economies; financial services; financial access.

DOI: 10.1504/IJFSM.2008.019668

International Journal of Financial Services Management, 2008 Vol.3 No.2, pp.148 - 170

Published online: 19 Jul 2008 *

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