Impact of Credit Management on the Performance of Small-Scale Enterprises in Kogi State, Nigeria

Abstract

This study examines the impact of credit management on the performance of small-scale enterprise in Kogi State, Nigeria. The objectives of this study were to examine the relationship between loan deposit ratio and performance of small-scale enterprise and to determine the relationship between capital adequacy and the performance of small-scale enterprise in Kogi State. The researcher elicited data from respondents using a structured questionnaire and hypotheses tested using simple linear regression. The findings revealed that there is a significant relationship between loan deposit ratio and performance of small-scale enterprise in Kogi State, and that there is a significant positive relationship between capital adequacy and performance of small-scale enterprise in Kogi State. From the findings the research recommends that the small and medium scale enterprises should maintain adequate and effective credit management in order to enhance the organizational growth and accountability.