...SME Financing in Bangladesh: Problems and Prospects SME Financing in Bangladesh: Problems and Prospects Prepared for Arafat Rahman Assistant Professor Institute of Business Administration Jahangirnagar University Prepared by Tanjila Sharmin 201301029 Md. Mourshed Uddin 201303006 Naim Ahmad 201403020 Sayeed Ishtiaque Ahmed 201403027 Md. Sazzad Hossain 201403034 Course Participant BUS 501: Managerial Communication (Section-02) WMBA Program Institute of Business Administration Jahangirnagar University December 20, 2014 Letter of authorization November 23, 2014 Course Participant BUS 501: Managerial Communication The purpose of this report is to familiarize you with the basic techniques and principles associated with writing a formal business report so that you can build and enhance this specific written communication skill. This formal report will be coordinated with a formal presentation session on the topic of the report. At a minimum, your report should include information related to the following issues: Introduction to the Industry/Sector/Area – What is the industry/sector/Area? What is the background of the industry/sector/Area in Bangladesh? Who are the major participants? You may show how the industry/sector/area is contributing to the economic development of the country. In this case, you must use industry-related data for the past three years (at least). In case of export-oriented industries...
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...CHAPTER - 1 INTRODUCTION 1.1 INTRODUCTION TO SMEs Small and Medium Enterprises (SMEs) have played a significant role world over in the economic development of various countries. Over a period of time, it has been proved that SMEs are dynamic, innovative and most importantly, the employer of first resort to millions of people in the country. The sector is a breeding ground for entrepreneurship. The importance of SME sector is well-recognized world over owing to its significant contribution in achieving various socio-economic objectives, such as employment generation, contribution to national output and exports, fostering new entrepreneurship and to provide depth to the industrial base of the economy. Small and medium-sized enterprises (SMEs) are the backbone of all economies and are a key source of economic growth, dynamism and flexibility in advanced industrialized countries, as well as in emerging and developing economies. SMEs constitute the dominant form of business organization, accounting for over 95% and up to 99% of enterprises depending on the country. They are responsible for between 60-70% net job creations in Developing countries. Small businesses are particularly important for bringing innovative products or techniques to the market. Microsoft may be a software giant today, but it started off in typical SME fashion, as a dream developed by a young student with the help of family and friends. Only when Bill Gates and his...
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...Institutional Financing of SME in Bangladesh [pic] [pic] TERM PAPER ON Institutional Financing of SME in Bangladesh Submitted By: ID- Program- BBA Premier University, Chittagong Submitted in partial fulfillment of the requirements for the Bachelor of Business Administration. Submitted To: Ms. Nilufar Sultana Lecturer, Dept. of Finance & Banking, Faculty of Business Studies, Premier University, Chittagong. DATE OF SUBMISSION: /09/2012 Letter of Transmittal Date: To Ms. Nilufar Sultana Faculty of Business Studies Premier University, Chittagong Sub: Letter of Transmitter on Term Paper Dear Madam, This is my pleasure to submit my term paper report on “Institutional financing of SME in Bangladesh” which I was assigned. It was a great opportunity for me to acquire knowledge and experience in respect of the functions, procedures and operational activity, other than my topic of study. I have concentrated my best efforts to achieve the objectives of the assignment study and hope my endeavor will serve the purpose. However, I will always be ready to provide any further clarification that you may require. Sincerely Yours, ID# Program: BBA Batch Number: 16 8th Semester Section: Major:...
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...GUIDE FOR EXPORTING SMEs EXPORT IMPACT FOR GOOD © International Trade Centre 2009 The International Trade Centre (ITC) is the joint agency of the World Trade Organization and the United Nations. Street address: ITC, 54-56, rue de Montbrillant, 1202 Geneva, Switzerland ITC, Palais des Nations, 1211 Geneva 10, Switzerland +41-22 730 0111 +41-22 733 4439 itcreg@intracen.org http://www.intracen.org Postal address: Telephone: Fax: E-mail: Internet: HOW TO ACCESS TRADE FINANCE A GUIDE FOR EXPORTING SMEs Geneva 2009 ii ABSTRACT FOR TRADE INFORMATION SERVICES 2009 F-04.03 HOW INTERNATIONAL TRADE CENTRE (ITC) How to Access Trade Finance: A guide for exporting SMEs Geneva: ITC, 2009. x, 135 p. Guide dealing with the processes involved in obtaining finance for exporting SMEs – explains the credit process of financial institutions from pre-application to loan repayment; examines the SME sector and barriers to finance, as well as the risks in lending to the SME sector as perceived by financial institutions; addresses SMEs’ internal assessment of financial needs, determining the right financing instruments, and finding the appropriate lenders and service providers; discusses how to approach and negotiate with banks; tackles cash flow and risk management issues; includes examples of real-life business plans and loan requests; includes bibliography (p. 134). Descriptors: Trade Financing, Export Financing, Export Credit, Risk Management, SMEs, Manuals. English...
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...scarce capital, intensive technology, foreign exchange constraints, poor management, corruption and inadequate attention to economic viability and market prospects which has resulted in poor performance of the industries in terms of output and employment (Steel & Webster, 1992). Following an economic recession in the 1980’s which resulted in the retrenchment of workers from the civil service, the rationalization of production in the private sector under the Economic Recovery Programme (ERP) was launched in 1983, and the high population growth rate of 2.6% per annum, coupled with the inability of the medium and large scale enterprises to grow and expand over time to absorb the idle labour, the SMEs has become an important option and alternative source of employment. SMEs have been...
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...SME defined by SBP as an entity having less than 250 employees and Rs. 300 million revenues. SMEs account for a substantial part of the economy; there are about 3.2 million enterprises in Pakistan, of which about 3 million (93%) are SMEs. SMEs spread across the economy with varying density: see exhibit 1-A for the sector wise division of SME sector. According to a survey conducted by SMEDA, this sector contributes more than 30% to GDP and 25% to the country’s total export earnings, and employs close to 70% of the labor force in the manufacturing industry, services, and trade. Their share in manufacturing value addition is estimated to be around 35%. Small & medium businesses play a very critical role when economies are transiting from low to middle income levels yet Pakistan has paid less attention to the growth and development of this crucial pillar of economy. Our report mainly focuses on the financial constraint to growth of this sector. Capital requirements: According to SMEDA there’re 800,000 SMEs in Pakistan that are eligible for bank loans. Another 2.4 million potential businesses that can’t qualify for bank loans mainly rely on other sources of finance for their business needs. Approximately 89% of working capital and 75% of fixed investments are financed from retained earnings. (See exhibit 1-B) Remaining financing needs are fulfilled from external sources which include family and friends, bank loans and other small sources as depicted in exhibit 2-A. Despite the...
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...SME financing peaked to nearly Rs. 400 billion in 2008 to Rs. 319 billion in June 2010. The number of SME borrowers has come down significantly to 197,808 constituting only about 5.2% of the total number of the borrowers of the banking industry. Credit gap of Rs. 25 billion is causing various SME closures. Cumbersome procedure and delays: Even after providing collateral the loan approval takes well over 6 months. According to a survey conducted by SMEDA most of the SMEs are denied credit by rejecting their movable/immovable properties other than land as collateral. As small business owners in Pakistan are not well educated, they’re unable to meet the stringent standards of banks. Either SMEs don’t apply for bank loans at all, or if they do (10.7%) they’re more likely to be rejected (75%) as compared to large businesses due to absence of established structures. The cost of credit financing: For SMEs access to risk-sharing credit is also difficult because of high costs. The interest rate spread of banks increased from 3% during 1990’s to 8% by the turn of the new millennium. According to a study conducted by ADB, lease financing represents up to 25% of total fixed investment. The cost of funds for leasing companies averaged approximately 18% per annum which is much higher than for banking sector. The report issued by ADB also identifies the difficulties in obtaining export finance as banks require export letters of credit. SMEs being mostly indirect exporters can’t...
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...Project Task-List CMGT/410 8 August 2013 Myrna Bravo Introduction We would like to thank the staff of PC World in taking the time to learn the new Point of Sales system. The system is much more modern than our last system that the company had and therefore all the users will need the proper training on its current functions. Within the Microsoft Project file you will find each step of the training session to include the preparation. The purpose of this memo is to explain each step along the way. Preparation The initial planning of the meeting will take some extra preparation. The next couple of days will entail gathering information that is necessary on the training staff that will be needed for the two days of training. The Human Resources department will be responsible for providing the list. Along with the preparation we also need to look at the facilities that will be available for the company to use. The list should be reviewed within a timely manner to narrow down the possibilities and setting one location for the accommodations and training room. There are some venues that has helped the company out before so it would be best to reach out to them again and see if they possibly would have any openings. The IT department will be responsible for creating a list of all necessary hardware which will be needed for the training session, during this period. Training Staff Once the list of trainers that will be available for the training session is complete...
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...have had is re-organizing my agenda to be able to assign time for class work. I am forfeiting a little bit of time in those two departments to make time for school. Deciding priorities is done so in a manner of importance. I make a mental list of things I need to complete ranging from top priority to not so important. For instance I rate grocery shopping higher on the list than getting my nails done, or paying rent supersedes paying for college books. Some decisions are more difficult than others but if I can identify its importance I can place it in my mental list. Prioritizing school is as simple as making a plan, rating it in my mental list, and then doing the task. If I implement what I just mentioned school will be a breeze with limited sacrifice and stress. This will result in a higher GPA and will have a "snowball" effect and motivate me to continue to improve as a student. This topic was one that I needed to revisit. I have gone on with my life in a hectic manner and needed to be reminded of the fundamentals of priorities and how that translates into success. My main take away from this topic is obvious but still vital. I will rate events in my head then find an accurate place to put them on my mental list. I think if I can do...
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...Sales and Distribution (SD) Release 4.6C MYSAP.ROLES_S_SD Sales and Distribution (SD) SAP AG Copyright © Copyright 2001 SAP AG. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice. Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors. Microsoft , WINDOWS , NT , EXCEL , Word , PowerPoint and SQL Server are registered trademarks of Microsoft Corporation. IBM , DB2 , OS/2 , DB2/6000 , Parallel Sysplex , MVS/ESA , RS/6000 , AIX , S/390 , ® ® ® AS/400 , OS/390 , and OS/400 are registered trademarks of IBM Corporation. ORACLE is a registered trademark of ORACLE Corporation. INFORMIX -OnLine for SAP and Informix Dynamic Server Informix Software Incorporated. ® ® ® ® ® ® TM ® ® ® ® ® ® ® ® ® ® ® ® ® ® ® ® ® are registered trademarks of UNIX , X/Open , OSF/1 , and Motif are registered trademarks of the Open Group. HTML, DHTML, XML, XHTML are trademarks or registered trademarks of W3C , World Wide Web Consortium, Massachusetts Institute of Technology. JAVA is a registered trademark of Sun Microsystems, Inc. JAVASCRIPT is a registered trademark of Sun Microsystems, Inc., used under license for technology invented and implemented by Netscape. SAP, SAP Logo, R/2, RIVA, R/3, ABAP, SAP ArchiveLink, SAP Business Workflow, WebFlow...
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...altered just by simple suggestion. I practiced this experiment on my wife and seven children. Every person circled the word “snow” no matter what list they studied from. I considered the possibility that their thoughts were about the weather due to the rain and cold temperatures from that day. I decided to wait a few days before trying the experiment on the actual volunteers, eager for improved weather conditions. Our local church was having a meeting with many of its members. I waited for the meeting to finish and asked if four people would be willing to volunteer to participate in a research project. I asked the four volunteers to have a seat and patiently to do this experiment one person at a time. I brought the first volunteer into a separate room and explained the consent form and informed them that this was a simple memory test and there would be no harm to them, however there may be some slight deception. I also expressed their answers and identity will remain confident. The volunteers were informed the experiment would only take about five minutes of their time and if they still willing to participate we can get started. I gave the person the list to study and informed them they would have one minute to study the list before moving on to the second stage. I set a timer for one minute. Once done, I removed the list and handed them the math page and informed them that there is no right or wrong answers and to do their best to answer and...
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...his anticipation of being done with it all—professors, exams, problem sets, grades, group meetings, all-nighters . . . The list could go on and on. The fear stems from the fact that he is graduating in December and has only four months to find a job. Brent is a little unsure about how he should approach the job search. During his sophomore and junior years, he had certainly heard seniors talking about their strategies for finding the perfect job, and he knows that he should first visit the Campus Career Planning Center to devise a search plan. On September 1, the first day of school, he walks through the doors of the Campus Career PlanningCenter and meets Elizabeth Merryweather, a recent graduate overflowing with energy and comforting smiles. Brent explains to Elizabeth that since he is graduating in December and plans to begin work in January, he wants to leave all of November and December open for interviews. Such a plan means that by October 31 he has to have all his preliminary materials, such as cover letters and résumés, submitted to the companies where he wants to work. Elizabeth recognizes that Brent has to follow a very tight schedule, if he wants to meet his goal within the next 60 days. She suggests that the two of them sit down together and decide the major milestones that need to be completed in the job search process. Elizabeth and Brent list the 19 major milestones. For each of the 19 milestones, they identify the other milestones that must be accomplished directly...
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...of cards came and the list of the top students were posted. I was listed as Top 1. The teachers said they weren’t surprised by the result because they already have expected me to top it. I became so happy with the result. Everyone complimented me even my parents boasts their relatives about my grades. Air went inside my head. I became popular instantly. The “badboy” group acknowledge me and they wanted to be friends with me. I said without a doubt, Yes ! I wanted to be in their group because they are cool. We played DotA everyday after class. We played pranks and hangout every free time. The 2nd periodic examination had passed. The giving of cards arrived. I went to look at the list of the top students top to bottom but I can’t find my name there. I was confused. Then I realized that I got kicked out from the list because of my grades. The first thing that got in to me was embarrassment. Everyone expected me to “dominate” our batch yet my name can’t be found on the list. I felt very sad because I disappointed them. Then I began to feel scared. How will I ever report this to my parents. They have high regards and standards of me ever since I got a high grade when I was little. I became angry of my “buddies”. I blamed them for what had happen to me. After my confrontation with my parents especially with my mother. I felt guilty, after all it is my fault. It is my own doings of what I become. For me the real reason why I got kicked out from the list was I became irresponsible...
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...get to things or places as you’d like to? b. Successful people establish habits that help contribute to their success in their daily routines. c. To only name a few out so many there are three key habits they have. Pre-planning the night before, setting priorities before the start of the day, and completing the most important tasks first. II. Body a. First, a minute of planning the night before can save 10 minutes in execution. Sit down before bed and write down everything you need to do the following day on a post-it or piece of paper. Writing down a list clarifies your thinking goals. i. According to Charles Duhigg in a Harvard Business interview, he says that 40-45% of we what we do is habit. ii. You want to be able to work from a list to get things done and not wing the day as usual. b. Second, set priorities on your list before you start the day working from the 80/20 rule. If you have 10 things on your list make two of them the most important than the other eight. i. Ask yourself, “if I there are two things I need to get done before the end of the day, what would it be?” and those are your two to prioritize for your day. ii. According to Atanu Dey’s article on Economics, Policy and Government, prioritizing is important because we have limited resources, all of which have alternative uses. c. Finally, begin and focus on it and only it until complete the most important task first. All success in general comes from project completion and establishing good habits...
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...A gift registry site where people who have a special day or needs can make up a list of product that they would like to receive as gifts or open a cash fund to collect money to buy a product. There are some options for user in order to have a product by using our web site: 1) User can make up a gift list for a special situation. These situations such as birthday gifts, new home gifts, new child gifts, wedding gifts etc. will be varied under a title. User will add these gifts from shopping web sites like Amazon.com. Friends of user can reach to the list and purchase one of the gifts by letting the user know or not as a surprise. Gift will be sent to the shipping address of user. 2) User can open a cash gift fund that includes information about gift with his Paypal account. Fund will be limited by an amount. Moreover, most active gift requests, lists and cash gift funds will be shared on main page, thus interactivity between users and some mainstream situations will leverage the reputation of web site such as getting together of people to collect money for a guy that needs money to marry with his childhood love etc. on social media as well. Gift requests may be shared on social media pages and other personal pages that buyers can reach to lists. Web site will have a sorting speciality of gifts according to prices and importance level that user decide...
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