The Challenges of SME

As the business world exist from day to day there’s always a need that arises and challenges faced by the business owners as the days emerges. The Small Medium Enterprises (SME) these are business that is set-up by little not much capitals the major problem faced by the SME is what is call the Networth of business finance.
Finance forms the bedrock of a business on which such a business rest upon be it whatever form of business which sometimes capital pose a form of challenge to it no where to source for finance which make the business sometimes to liquidate, the financial institution would have been a place to run to when the issue of finance is faced by the SME but due to the procedure involve in granting loans the SME cannot meet up with providing a collateral for granting of the loans by the bank to her.

Another problem that pose a threat to the SME is sponsor getting a sponsor who will lay down his money for the smooth running of the enterprises cause no one wants to take that risk life itself is a risk coupled with manpower cause for a job to be effective and done in a proper manner labour is needed it contributes much to the success, growth and progress of the business, here manpower signifies labour which shows and determines the extent of how far production process will go that’s why a business rely much on this.
Another challenges faced by the SME is material and equipment having the needed machinery in place for production finally location having the exact location to operate from cause your location determines the extent of how far that business can go.
Sponsor, finance, manpower, location and awareness these are the challenges that face the Small Medium Enterprises