Table 6 Types of Financial Institutions that Give credit facilities to the

Table 6 types of financial institutions that give

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Table 6 Types of Financial Institutions that Give credit facilities to the Sample Firms Financial Institution Frequency Percentage (%) Banks 7 10.3 Microfinance Institution 37 54.5 KWFT 12 17.6 Youth Fund 12 17.6 From the distribution table above, 68 respondents gave data on the various types of financial institutions from whom they obtain credit from which they use for business growth and expansion or for any other purpose which relates to the business. Most respondents get credit facilities from microfinance institutions with a score rate of 54.5%. Kenya Women Finance Trust Fund and Youth Fund have the same score rate of 17.6%. The credit facility diminishes to 10.3% where only 7 respondents borrowed loans and other services from bank. According to the results, respondents majorly borrowed from microfinance institution probably because of the factors such as easy accessibility of credit services and lower interest rates while banks did not serve many small and medium enterprises as such. Figure 8 below is a bar graph showing a distribution of respondents on the various types of financial institutions from which they borrowed credit loans and other services from. 32
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Banks MFIs KWFT Youth Fund 0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% 10.60% 54.50% 17.60% 17.60% Series 2 Series 1 Figure 8 Types of Financial Institutions that Give credit facilities to the Respondents 4.4 Distribution of Availability of Information Technology in Respondent Firms In the research study questionnaire respondents were asked whether their organizations had a sufficient information technology or not that would enable them alias with financial institutions. Their response is noted in the table 7 below. Table 7 Availability of information Technology in a Firm Response Frequency Percentage (%) Yes 74 82.2 No 16 17.8 Total 90 100 Table 7 above sought to assess the number of respondents who had information technology systems in their firms, which are crucial in establishing a channel or media through which they are able to link up with financial institutions and getting important information easily. 33
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From the data, 82.2% of the respondents indicated that they applied use of information technology and 17.8 of the respondents had no information technology systems in their firms. Therefore the findings show that more firms had the capacity of easily accessing credit facilities from financial institutions than the few that had no use of information technology. Information technology is deemed a factor that would foster borrowing from financial institutions for later repayment. The pie chart in figure 9 below shows the respondent distribution of availability of information technology in their firms. 82.20% 17.80% Firm's IT Availability Yes No Figure 9 Distribution about the response of a Firm’s IT availability 34
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4.4.1 Distribution of Respondent’s Forms of Media In Their Organizations The study indicated that the sample SMEs make use of different forms of media which help in getting necessary information that is crucial in acquiring and managing credit facilities. The table
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