BREAKING BARRIERS: EXPLORING FACTORS SHAPING ACCESS TO BUSINESS START-UP CAPITAL AMONG FEMALE ENTREPRENEURS IN LAGOS STATE, NIGERIA

Abstract

The study investigated the factors that hinder female entrepreneurs' access to startup capital in Lagos State, Nigeria. The research used a hybrid method design, combining both quantitative and qualitative data collection methods. The study focused on female entrepreneurs in micro, small, and medium-sized enterprises based in Lagos State who started their businesses less than five years ago. The sample size of 422 female entrepreneurs was determined through Cochran’s 1977 sample size determination formular and selected using multi-stage sampling techniques to administer copies of the study questionnaire; and six entrepreneurial association executives were purposively selected for the Key Informant Interviews. The quantitative data analysis was carried out using Statistical Package for Social Sciences (SPSS) 21.0, while the qualitative data were analyzed using content analysis and descriptive methods. The study found that the acknowledged common sources of startup capital were family and friends, personal savings and cooperative societies, while lack of awareness of available sources of startup capital, non-membership of clubs and associations and limited access to collateral security were the major factors that hindered female entrepreneurs' access to startup capital. The study recommends implementing policies and programmes that augment female entrepreneurs' access to finance, such as providing business training programmes and increasing access to microfinance institutions. These policies and programmes would help to address the identified challenges and create a more conducive environment for female entrepreneurs in Lagos State, Nigeria.   Keywords:  Startup Capital, Female Entrepreneurs, Medium-sized Enterprises, Collateral Security