Finance for Small and Medium-sized Enterprises in the Caribbean

Paperback: £36.00
978-0-85092-843-3

Finance for Small and Medium-sized Enterprises in the Caribbean
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Contributors: Erwin E Brewster
Series Title: Economic Paper Series
Publication date: 1 September 2006
Size: 240mm x 165mm
ISBN: 978-0-85092-843-3
Pages: 110

Small and medium-sized enterprises (SMEs) are seen as the engine of economic growth and employment creation in the Caribbean, as in other parts of the world. This study explores the difficulties such enterprises have in accessing long-term financing and how these could be overcome. The book reports the results of a survey of SMEs from ten Caribbean countries, and a parallel study of lending institutions that might be expected to offer finance to SMEs.

The author offers a commentary on the differing perspectives of SMEs and lenders to the problem of finding affordable long-term financing, and suggests policy options for improving access to finance for this sector.



ContentsExpand or collapse me

Acknowledgements
Introduction
Executive Summary

I. Contextual Data Analysis

1. Business Characteristics
Distribution of Businesses by Country and Legal Form
Original Base of Businesses
Exports and Areas to which Products Were Exported
Principal Owner Characteristics

II. Attempts by SMEs to Access Finance

2. Requests for Debt Finance
Type of Finance Requested
Lending Institutions Approached
Authorisation of Debt Finance
Amounts Authorised and Borrowed
Rejection Rate
Relationship with Lending Institutions
Satisfaction with the Service Elements of Financial Institutions
Discouragement of Financing
Intended Use of Finance
Collateral
The Application Process

3. Requests for Equity Finance

4. Requests for Grants

III. Perceptions of SMEs on Access to Finance and Inhibitors to Access

5. The Finance Needs of Businesses
Employees and Revenues Businesses Would Add in the Next Five Years
Purposes for which Finance Would Be Used
Support for SMEs and Obstacles to Development -- Main Causes of Difficulty in Securing Long-term Finance
Barriers to Development of SMEs -- Support Required from Government
Areas in which Assistance Is Required
Support Required
Most Appropriate Form of Finance
Main Problems Encountered by Businesses

6. Skills and Training Needs of SMEs
Training Programmes Attended
Training Programmes Required

IV. Lenders’ Experience of the Financing of SMEs

7. Business Characteristics of Lenders
Evaluation of Requests for Finance
Other Business Characteristics
Security Required
Reasons for Refusing Finance
Opportunities for Reducing Risk
Conclusion

Appendices

1. Survey Methodology and Experience of Researchers
2. Small and Medium-sized Enterprises
3. Financial Institutions References

About the contributor Expand or collapse me

Erwin E Brewster (Author)

Erwin Brewster is a private consultant in the area of the social sciences. He was for twenty-five years chief executive officer for several US-owned life insurance operations in the Caribbean and Africa.