Financial experts in the country have advised operators of small and medium scale enterprises (SMEs) in the country to imbibe the culture of financial documentation.
This, they stressed would put the business on the right path and make it easier for them to attract the right funding.
Speaking at the Legal Business 4.0 meet-up event in Lagos, recently, with the theme, “Business Start-up Finance: Legal Issues,” the Founder, Legal Business Network, Ifeoma Ben, said this was a major challenge facing SMEs irrespective of the locations of business.
She said capacity building would lead to an increase in return on investment for the businesses.
“Record keeping is all about taking records of sales, cash flows to enable stakeholders make decisions when funding a business.
“With the knowledge every participant has been exposed to, it is expected of them to use it for the betterment of their business, which why we have brought experts from different field from the finance, banking, law, to bridge the knowledge gap in business laws lacking among SMEs in the country,” she said.
Reiterating the importance of the laying a good foundation for business sustainability so as to develop operational guidelines, procedure manuals, staffing issues and budgeting, the CEO of Interkon Solutions, Ibrahim Buwanhot, advised that entrepreneurs should seek the services of financial experts at the early stage as an entrepreneur.
“Entrepreneurs should take an active interest in things that affect their businesses, which is access to finance, knowledge and how to get new customers.
“There is no readily available money for anybody, so there are measures or criteria you must have to access them,” he said.