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Entrepreneurship and Entrepreneurial Finance in Ghana

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Entrepreneurial Finance in Emerging Markets

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Abstract

Growing entrepreneurship has become an important component of economic growth in Ghana—small enterprises account for about 92 percent of all business in Ghana. This chapter focuses on entrepreneurship and business financing in Ghana. It focuses on sources of funding for business in Ghana at the start-up and post-start-up stages of development. The chapter highlights that a significant number of early-stage firms rely on personal savings as well as family-and-friend financing. The chapter confirms that young and expanding firms in Ghana rely on various methods of “bootstrapping” to finance their business. This includes financial resources from personal savings as well as family and friends. Bank financing is on the rise, but significant barriers exists (i.e., high interest rates, collateral requirements, and terms of payment). The government has also been involved in providing assistance to local entrepreneurial firms through access to microcredit.

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Author information

Authors and Affiliations

  1. Brunel University, London, UK

    Guy T. Agyapong & Chima Mordi

Authors
  1. Guy T. Agyapong
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  2. Chima Mordi
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Corresponding author

Correspondence to Chima Mordi .

Editor information

Editors and Affiliations

  1. Brandon University, Brandon, MB, Canada

    Darek Klonowski

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Agyapong, G.T., Mordi, C. (2020). Entrepreneurship and Entrepreneurial Finance in Ghana. In: Klonowski, D. (eds) Entrepreneurial Finance in Emerging Markets. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-46220-8_22

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  • DOI: https://doi.org/10.1007/978-3-030-46220-8_22

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  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-030-46219-2

  • Online ISBN: 978-3-030-46220-8

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