The Association of small business owners of Nigeria(ASBON) has called on insurance and pension managers to deepen insurance penetration for Small and Medium Enterprises(SMEs) to formally install their businesses to guard against any form of economic threats.
This is even as the stakeholders urged business operators and organised private sector operators to galvanise business advisory support and corporate governance for Micro, Small and Medium Enterprises(MSMEs) while it noted that, SMEs with corporate governance and business advisory support will grow across Africa into desirable global brands by working with consulting firms and individuals in varying phases of the business cycle from ideation to maturation.
Speaking on the development, national president of Association of small business owners of Nigeria (ASBON). Dr. Femi Egbesola, reiterated the need for SMEs to adopt corporate governance of business advisory firms to enable them stabilise micro and small businesses from their initial stages of development to flourish in the current economic climate.
Egbesola said, the world is currently going through a tightening economic strain, adding that, this is compelling MSMEs to either shutdown or charge higher rates and pushing customers to compensate beyond their budget.
ASBON boss added that SMEs need to build business advisory models to survive the current harsh economic realities by engaging with institute of entrepreneurial studies that will provide the needed operational skills and adequate knowledge to guide SMEs operations to set business running smoothly.
He noted that, this would give assurance to business community to unlock potential and reposition the economy on the path of recovery. Also speaking, director, Cellente Limited, Victoria Odimba said, for businesses to thrive, especially, the small business owners, there’s need to afford basic business requirements to provide businesses with advisory roles and marketing communications solutions for SMEs to overcome the current headwinds of business climate in the country.
Odimba said, many small business owners are struggling with too many challenges such as high operating costs, human resources, inadequate knowledge or lack of business strategy, operational skills and capital to run the business successfully.
She added that Cellente organisation will create viable business designed to drive inclusion for SMEs to propel economic growth.
She averred that Cellente aims to partner like minds across various industries to provide financial aid for goods-based businesses and organise regular trainings for these business owners who are unarguably a vital part of the economy and employment, to enhance growth and sustainability.
She posited that, after a careful review of the 17 Sustainable Development Goals (SDGs) and the current situation in most African countries, Cellente Limited decided to tackle seven of the 17 SDGs with the aim of taking a stand and joining forces to achieve these goals by 2030.
She asserted that, despite the significant contribution of SMEs to the Nigerian economy, challenges still persist that hinders the growth and development of the sector, adding that, with a total number of 41.5 million MSMEs, they collectively account about 50 per cent of industrial jobs and nearly 90 per cent of the manufacturing sector, in terms of number of enterprises.
She added that, “though significant growth has been achieved in the MSME sector, there is still much to be done. Some of challenges encountered by the sector include lack of skilled manpower, multiplicity of taxes, and high cost of doing business, lack of business plan, among others.”
Cellente further said, it introduced the SME Drive with the mission of “challenging the status quo” and seeking to reduce the current state of poverty and unemployment to the barest minimum by partnering and empowering small businesses that have proven beyond doubt to be backbone of the economy and eradicating unemployment, to create viable business solutions, increase revenue, enhance growth and sustainability.”
Victoria Odimba added that, if we are to meet the number one Sustainable Development Goal to eradicate poverty by 2030, more people will need to be financially empowered with knowledge acquisition and financial support
