Assessment of the contribution of business development services (BDS) providers in small and medium enterprises (SMEs) development: the case of Dar es Salaam

The main objective of this was to assess the contribution of Business Development Services (BDS) providers to the growth and development of Small and Medium Enterprises (SMEs) as per SMEs Development policy 2003. A total of 90 respondents from SMEs in three municipals Ilala, Kinondoni and Temeke were conveniently sampled. The sample was from entrepreneurs who are engaged in Building hardware shops who received some form of training for the success of their businesses. Both qualitative and quantitative methods were used in data analysis aided by the use of Statistical package for social sciences (SPSS). Methodologically, the researcher collected data by using questionnaires followed by an in-depth interview so as to generate Basic knowledge and clarity of relevant issues. Data analysis was exploratory and descriptive one, where by statistical data presentation has been applied in the study. The study found that only 53.5% of business growth and development of SMEs is contributed by BDS. This does not substantially support the relationship of BDS and SMEs growth and development. The study recommends to the government for reduction of tax burden to SMEs, introduction of government SMEs guarantees to banks, and subsidies for SMEs trade fair and advertisements.