Factors influencing access to finance by small and medium healthcare entrepreneurs in Kisii County
Date
2021
Authors
Omari, Dennis Nyabera
Journal Title
Journal ISSN
Volume Title
Publisher
Strathmore University
Abstract
Access to finance is a major constraint for many healthcare entrepreneurs across the sector. Improving direct access to credit for small and medium healthcare entrepreneurs will not only have a strong impact on a count1y's health system, but it will also have long term positive implications on the country's economy at large. There is a great need for healthcare entrepreneurs to get access to credit facilities and financial institutions should understand and address this issue. This study investigated the factors that limit the accessibility to financing by small and medium healthcare entrepreneurs in Kisii County, Kenya. The study targeted 81 entrepreneurs operating licensed small and medium medical facilities in Kisii County. Data was collected using questionnaires composed of open-ended and closed-ended questions and gathered information in line with the study objectives, after a research permit was obtained from NACOSTI. A descriptive survey design was used for the study and the collected data was organized and analyzed with a statistical package used for social sciences. The study established that Kisii County health SME's is predominantly sole proprietorships, most of which have been in operations for less than ten years. These SME's have less than ten employees and the management of the SME's is mainly carried out by non-professional managers and the owners double up as the managers. Majority of the firms have a monthly turnover of between Kenya shillings thirty thousand and fifty thousand. The study also established that there is a statistically significant relationship between financial inclusion and intermediation efficiency and access in Kisii County while depth is statistically insignificant. In addition, the study established that there is a positive correlation between all the variables which is statistically significant which means that any increases in the variables depth, access and intermediation efficiency will lead to an increase in financial inclusion in SME's in Kisii County.
Description
A Dissertation submitted in partial fulfilment of the requirements for the award of Master of Business Administration Degree in Healthcare Management of Strathmore University