Entrepreneurial Finance for MSMEs
A Managerial Approach for Developing Markets

Authors: Joshua Yindenaba Abor



Specifically focuses on developing countries

Provides a good overview of MSME development and their unique characteristics

Demonstrates how MSMEs contribute to economic growth

Explores the challenges MSMEs face in their development

Provides readers with a good understanding of the financial issues confronting MSMEs

Applies traditional tools of finance in a developing country context

This book provides a framework for understanding micro, small and medium sized enterprises (MSMEs) as important contributors to economic growth. By examining the economic and investment decisions behind these businesses, the author shows how managers of MSMEs can add value to the firm by applying managerial finance tools. Early chapters establish the basic tenets of new venture development and financing and explore the economic environment that business-owners inhabit, focusing on venture capital, microfinance intervention, and public sector interventions. Later chapters guide the reader through the process of financial planning and forecasting, and valuation, finishing with insights into how to harvest investments and make sound financial decisions. The book has interdisciplinary appeal and offers a timely consideration of MSMEs in developing economies. It will be valuable reading for all interested in the management and development of small businesses, the finance of entrepreneurship and policy affecting small and medium sized enterprises.

Table of contents

Front Matter

The Entrepreneurial Setting
• Front Matter
• Introduction to Entrepreneurial Finance
• New Venture Development and Sources of Financing
• Business Planning

The Financial Environment and Finance Providers
• Front Matter
• The Financial Environment and Small Businesses
• Venture Capital Finance
• Microfinance Intervention
• Public Sector Interventions and Small Businesses

Financial Performance and Planning
• Front Matter
• Understanding and Analysing Financial Statements
• Financial Planning and Forecasting
• Working Capital Management

Valuation
• Front Matter
• Time Value of Money
• Evaluating Capital Investment Decisions: Capital Budgeting
• Valuation of New Ventures and Small Businesses

Financing Choice and Harvesting
• Front Matter
• Financing Choice
• Harvesting the Business Venture Investment

Back Matter