CONSTRAINTS FACING NEW AND EXISTING SMALL AND MEDIUM-SCALE ENTERPRISES (SMES) IN GREATER ACCRA REGION OF GHANA

Abstract

This study investigated the constraints facing new and existing Small and Medium-Scale Enterprises (SMEs) in Greater Accra Region of Ghana. The study used semi-structured questionnaires to collect data from management members of 30 new SMEs and 40 existing SMEs. Descriptive statistics such as pie chart, bar chart, frequency tables and percentages where used to present the results of the data. The study identified high cost of renting premises, as the commonest constraint facing new SMEs. Meanwhile, low income is the commonest constraint that affects existing SMEs. This study recommends that government should regulate the amount of rent charged by shop owners. New SMEs should contact existing SMEs so as to adopt the coping strategies that they are using to succeed in spite of the numerous constraints identified. Additionally, the formation of business associations should be intensified to help give credit to the member SMEs to expand their business.