Role of microfinance for entrepreneurial success

Abstract

The main objective of the paper isto analyze the influence of microfinance on entrepreneurialsuccess of Zimbabwean SMEs. Adopting explanatory research design with a sample that constitutes 120 business owners of SMEs in Gweru district data collection was through questionnaire administering that used Likert scale-type questions. The hypotheses are analyzed using Spearman’s correlation and regression analysis in order to empirically establish the influence of microfinance on entrepreneurial success. The main regression results show a strong positive relationship between microfinance and entrepreneurial success, a weak negative relationship between the business owner’s age and entrepreneurial success, and a positive relationship between the level of studies and entrepreneurial success of Zimbabwean SMEs.