Browsing by Author "Abdul, Amina"

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    Analysis of factors influencing SME's utilization of lease finance in Tanzania.
    (University of Dar es Salaam, 2011) Abdul, Amina
    SMEs are observed as capable instruments in solving the critical problems of development and poverty affecting most developing countries. Apart from many other problems, gaining access to bank credits have been identified as a key hindrance to this growth as they lack credit histories and collaterals that is assets to secure credit . Since leasing is anchored on business philosophy that profit is earned through the use rather than ownership of equipment or assets and the equipment itself becomes the collateral, hence the four specific objectives of this research work were to assess the extent of SME's utilization of lease finances in Tanzania, identify level of SMEs awareness towards lease finance, identify the collateralization requirement to be fulfilled by SMEs in order to obtain leasing facility and also identify taxation framework that affect SMEs utilization of lease finance in Tanzania. The study was conducted in Dar es Salaam Region. Data collection for this study was undertaken through questionnaires and documentary review. The data from questionnaires were analysed using multiple regression analysis. From the analysis the findings of the study show that major factors that influence SME's utilization of lease finance include SME's lack of awareness towards leasing, unfriendly taxation framework and unfavourable collateralization requirement on part of lease finance providers like banks and lease companies. A way forward which includes creation of public awareness, tax benefit and favourable collateralization requirement was provided in form of recommendation.