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Financing Options and Performance of Agripreneurship Firms in Bayelsa State

Aigboje, Patrick Oyaregba PhD and Esan Isaac Olubunmi

Abstract

The study examined the relationship between financing options and agripreneurship firm performance in Bayelsa State, Nigeria. Drawing from the Pecking Order Theory, the study employed a cross-sectional explanatory survey design covering all six agripreneurship firms registered in the state. 42 top officers were purposively selected with 41 valid responses examined using Pearson's Product Moment Correlation Coefficient in SPSS Version 23. Findings showed that grants were weakly negatively and statistically non-significantly correlated with market expansion (r = -0.075, p > 0.05), while microcredits (r = 0.049, p > 0.05) and savings (r = 0.217, p > 0.05) were weakly positively but non-significant. These results indicate that available financing instruments are not effectively driving market expansion for agripreneurship companies in the region. According to the research, while financial capital is critical, its efficacy is stifled by constricted access, small sizes of funds, and ineffective strategic deployment. It indicates that financial institutions must develop credit products designed for expansion, including working capital for expansion, marketing, and distribution. Besides, agripreneurs must be advised on how to invest credit on market entry strategies.

Keywords

Financing OptionsPerformanceAgripreneurshipMicrocreditsMarket

References

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