Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs

- The main objective of this study is to unearth the impact of internal and external funding sources for starting a business on the performance of SMEs, and to identify the potential of other core variables namely business experience, educational level, and size of firm, which may significantly infl...

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Main Authors: Mohd Rosli Mohamad, Syamsuriana Sidek, Wee Yu Ghee, Ahmad Ridhuwan Abdullah, Noor Azina Ismail, Noraani Mustapha
Format: Non-Indexed Article
Published: 2015
Online Access:http://discol.umk.edu.my/id/eprint/8004/
http://fkp.umk.edu.my/journal/download/1-v3.pdf
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spelling my.umk.eprints.80042022-05-23T10:24:38Z http://discol.umk.edu.my/id/eprint/8004/ Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs Mohd Rosli Mohamad Syamsuriana Sidek Wee Yu Ghee Ahmad Ridhuwan Abdullah Noor Azina Ismail Noraani Mustapha - The main objective of this study is to unearth the impact of internal and external funding sources for starting a business on the performance of SMEs, and to identify the potential of other core variables namely business experience, educational level, and size of firm, which may significantly influence the SMEs’ performance. The data was collected from 484 SMEs via a structured questionnaire and analyzed by using the Structural Equation Modeling (SEM) technique. The study found that the internal and external sources of finance were insignificantly related to the SMEs’ performance, while business experience, level of education, and firm size were positively related to the SMEs’ performance. The findings of this study reveal that finance is not the main source that needs to be taken into account by entrepreneurs, supporting institutions, and policy makers in improving the SMEs’ performance. Further research in this area of study should extend into examining and adding more components that are relevant to a variation of the SMEs’ performance. 2015 Non-Indexed Article NonPeerReviewed Mohd Rosli Mohamad and Syamsuriana Sidek and Wee Yu Ghee and Ahmad Ridhuwan Abdullah and Noor Azina Ismail and Noraani Mustapha (2015) Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs. Journal of Entrepreneurship and Business, 3 (1). pp. 1-16. ISSN 2289-8298 http://fkp.umk.edu.my/journal/download/1-v3.pdf
institution Universiti Malaysia Kelantan
building Perpustakaan Universiti Malaysia Kelantan
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Malaysia Kelantan
content_source UMK Institutional Repository
url_provider http://umkeprints.umk.edu.my/
description - The main objective of this study is to unearth the impact of internal and external funding sources for starting a business on the performance of SMEs, and to identify the potential of other core variables namely business experience, educational level, and size of firm, which may significantly influence the SMEs’ performance. The data was collected from 484 SMEs via a structured questionnaire and analyzed by using the Structural Equation Modeling (SEM) technique. The study found that the internal and external sources of finance were insignificantly related to the SMEs’ performance, while business experience, level of education, and firm size were positively related to the SMEs’ performance. The findings of this study reveal that finance is not the main source that needs to be taken into account by entrepreneurs, supporting institutions, and policy makers in improving the SMEs’ performance. Further research in this area of study should extend into examining and adding more components that are relevant to a variation of the SMEs’ performance.
format Non-Indexed Article
author Mohd Rosli Mohamad
Syamsuriana Sidek
Wee Yu Ghee
Ahmad Ridhuwan Abdullah
Noor Azina Ismail
Noraani Mustapha
spellingShingle Mohd Rosli Mohamad
Syamsuriana Sidek
Wee Yu Ghee
Ahmad Ridhuwan Abdullah
Noor Azina Ismail
Noraani Mustapha
Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs
author_facet Mohd Rosli Mohamad
Syamsuriana Sidek
Wee Yu Ghee
Ahmad Ridhuwan Abdullah
Noor Azina Ismail
Noraani Mustapha
author_sort Mohd Rosli Mohamad
title Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs
title_short Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs
title_full Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs
title_fullStr Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs
title_full_unstemmed Financial access for starting a business: evidence of internal and external financial sources, and performance of Malaysian SMEs
title_sort financial access for starting a business: evidence of internal and external financial sources, and performance of malaysian smes
publishDate 2015
url http://discol.umk.edu.my/id/eprint/8004/
http://fkp.umk.edu.my/journal/download/1-v3.pdf
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score 13.211869