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ENTREPRENEURIAL PROFILE AND FINANCING CHOICES OF VERY SMALL BUSINESSES IN MALI: THE CASE OF THE CITY OF BAMAKO

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Author: 
*MOHAMED ATTEYOUB H. DIT MODIBO SIDIBE and HOUDOU ATTIKOU DIALLO
Country: 
Mali
Volume & Issue: 
Volume 04, Issue 04, April 2022
Page No: 
2586-2591
Abstract: 

Under the World Bank-supported Public Enterprise Adjustment Programme (PASEP) since 1988, public enterprises are either liquidated, sanitized or privatized. In short, like most countries in the world, the creation of small businesses is part of Mali’s economic development strategies. The orientation of the State towards the private sector has fostered the creation of several Small and Medium-sized Enterprises (SME) and has contributed in an invaluable way to the creation of employment in order to increase incomes. The objective of this study was to highlight the link between the entrepreneur’s profile and the search for funding. The study was conducted among entrepreneurs in the city of Bamako from January to February 2020. Data collection was done through the administration of a faceto-face questionnaire. The sample consisted of 50 TPE operating in various sectors of activity: carpentry, mechanics, dyeing, sewing and catering, or 10 contractors per sector. The majority of companies, 82% were individual, that is to say created by their owners. The majority of entrepreneurs were aged 20-30, 34%, male, with 68% working mainly in carpentry and mechanics while women dominated in restoration and dyeing. In 62% of cases, business finance came mainly from the entrepreneur’s own funds, while 32% also benefited from the help of their friends/relatives in addition to their own funds. Our results show on the one hand that the profile of the entrepreneur led to the search for formal or informal financing, and on the other hand, that the Bamako TPE were mainly financed by their owners. They also indicate that the circumstances of business creation justify the choice of financing method.

KeyWords: 
Entrepreneurship, VSE, Financing, formal and informal sector.