An analysis of non-financial support services offered for development of small and medium enterprises (SMEs) operating in Dar es Salaam

The main objective of this study was to analyse the non-financial support services offered for the development of SMEs operating in Tanzania-particularly, those operating in three districts of Dar es Salaam Region (i.e. Ilala, Kinondoni and Temeke). The aim of this study therefore was to determine if the SMEs entrepreneur has the ability to understand the relevance of non financial services they receive, and the impact of those non financial services for the development of SMEs. It was statistically found that there is significant difference between the relevant business development services offered and those required by the owner-managers of SMEs. The study showed that the need for relevant BDS as perceived by the SMEs owner-managers in Dar es Salaam is very high. It was found that, the development services provision in the city of Dar es Salaam can be said to be supply - driven rather than demand-driven. This is supported by the fact that only one of the eight business development services studied were found to be important to the SMEs needs. The study findings also revealed that, there is a link between business development services received and the growth of the business. This conclusion is supported by the fact that only 18% of the sixty SME interviewed were found to show negative changes in their business after receiving non-financial services from the BDS organizations. Descriptive statistics were also used to determine the extent to which non-financial services reached the SMEs operating in Dar es Salaam. It was found that. Non-financial services offered do not reach the SMEs at a right time and right stage of development. Conclusive of the SME development to be achieved. business developed services should be offered to the owner-managers according to their needs. and that it should be provided at a right time and right stage of development of business.