Influence of Kenya Women Finance Trust services on performance of small scale enterprises in Rongo Division; Migori County

Abstract

This study set out to investigate the influence of Kenya Women Finance Trust services on performance of Small Scale Enterprises in Rongo Division; Migori County, is based on Solow's theory, the neo classical model. The study was guided by four objectives and these were to examine the influence of training services on performance of Small Scale Enterprises in Rongo Division, to assess the influence of credit facility on performance of small scale enterprises in Rongo Division, examine the influence of savings mobilization on stock level of Small Scale Enterprises in Rongo Division and to explore the influence of group mobilization on performance of small scale enterprises' savings in Rongo Division. The study adopted descriptive survey design and targeted a total of 7000 clients of KWFT in the research location. Out of this number, 378 clients were sampled for study using simple random sampling technique. The study hypothesized that there is no significant difference in small scale enterprise performance due to Kenya Women Finance Trust services.

The researcher hoped that the major research findings of this study would be used for planning purposes to influence Government policy decisions aimed at improving small scale enterprise performance and by the Small Scale Entrepreneurs to identify their areas of weaknesses and make efforts to improve on them so as to enhance their performance. The study anticipated limitations such as time and financial constraints, suspicion and lack of corporation from some respondents however measures to counter their effects were adequately put in place and assumed that respondents who would willingly participate in the study would be found, weather would be favorable, there would be adequate time and funds to facilitate the research process and that the information to be collected from the sample population would be true and accurate representation that can be used for generalization of the study result of the entire population without leaving some constituents in the populations untouched thus the results of this study would be used to make conclusions about the entire population under study. Validation was done to check on content accuracy, language suitability and technical accuracy. Using Pearson Product Moment Correlation method, a coefficient of correlation factor was calculated for each type of instrument at 5% degree of confidence between the first and second scores in order to determine the instruments reliability.

Validation was done to check on content accuracy, language suitability and technical accuracy. In order to ensure content validity, colleague researchers were asked to go through the instruments and gave their comments or input. Expert opinion was also sought to determine the validity of the instruments especially by making use of comments from the researcher's university supervisors. In order to capture the required data, self administered questionnaire forms were used on the clients. This data was organized in tables and subjected to statistical test in which chi-square was used to determine the significance of the null hypothesis hence drew an objective conclusion from the findings. During data collection, respondents were assured of the confidential nature with which the information they provided would be treated and no data was captured from any respondent while she was unaware. Major findings of the study revealed that Kenya Women Finance Trust services have positive influence on performance of small scale enterprises in Rongo Division of Migori County as it was reported by respondents that the services had improved their business practices, led to business expansion, product diversification, increased savings, sales and business income. The study recommends that among the areas of coverage during training programs, the organization should incorporate the element of business planning.