Entrepreneurial Financing and Survival of Selected Micro Enterprises in Nigeria

The main objective of this study was to examine the effect of entrepreneurial financing on the survival of selected micro enterprises in Nigeria. Specifically, the study aimed to determine the effect of crowdfunding and entrepreneurial loan facilities on the survival of selected micro enterprises in Nigeria. This study employed a descriptive survey research design. Drawing on a large population of over 41 million micro enterprises, a sample size of 400 was determined using the Taro Yamane formula and selected through purposive sampling. Data were collected using a structured questionnaire focused on crowdfunding and loan facilities, with responses rated on a five-point Likert scale. The instrument was reviewed by experts for content validity and refined through pre-testing and a pilot study. Reliability testing using Cronbach’s Alpha confirmed internal consistency. Data analysis involved descriptive statistics to summarize responses and multiple regression analysis to test the hypotheses. The findings were that: crowdfunding has a positive but non-significant effect on business survival of selected micro enterprises in Nigeria (β = 0.072, p = 0.319); entrepreneurial loan facility has a positive and significant effect on business survival of selected micro enterprises in Nigeria (β = 0.570, p = 0.000). In conclusion, when micro enterprises gain access to financing that is formal, predictable, and tailored to their operational needs, they are more likely to overcome financial obstacles, maintain liquidity, and withstand market fluctuations. The study recommended that Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) should embark on nationwide awareness campaigns and training programs targeted at micro enterprise owners to educate them on how to access and effectively utilize crowdfunding platforms.