Financial Literacy for Entrepreneurs Mariya Yesseleva-Pionka
Micro, Small, and Medium Enterprises’ (MSMEs) role in the broader economic environment should not be underestimated. The results concerning employment, industry value-added, innovation, and the entrepreneurship culture provided by MSMEs are well-documented worldwide. It is crucial to emphasise that the entrepreneurs and owner-manager of every MSME need to identify, assess and implement fundamental financial decisions for their business. Typically, daily financial decision-making processes in a smaller enterprise are done by owner-managers. Lack of time, resources, and expertise regarding legislative, tax, and financing requirements could hamper their external funding access. Access to funding is fundamental for every business. MSME owner-managers who are better equipped with knowledge and understanding of external financing options do have an advantage. Every owner-manager needs to identify the mix of debt and equity financing that leads to the lower cost of funding for business operations, with the ultimate goal
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