Funding at all costs: The Rush for Debt Funding in Africa
The need for patience as an entrepreneur and SMEs when seeking debt facilities (loans, mortgages, overdraft, etc.) has become important. A lot of firms are battling with survival and growth as a result of increased debts. Debt management is often a skill that is often distant from entrepreneurs and SMEs, especially within developing countries. The current trend for businesses and entrepreneurs is the desire to seek debt facilities when in impact their existing capacity cannot afford. A lot of impact companies within Ghana and by extension Sub-Sahara Africa are depending on donor funds and debts facilities to operate. The removal of such sources of funding causes the collapse of many companies (the US case is just an example). The element of sustainability in their finance is absent. Perhaps the patience…
