Bank Loan and Entrepreneur Business Export Expansion in Plateau State

Abstract

Most entrepreneur businesses were engaged into business activities that were traded internally and externally. These activities ranged from buying, distributing and selling of various products for both internal and external marketing. This paper was motivated to assess bank loan and entrepreneur business export expansion in Plateau State. Some small businesses were into exportation and many more had been planning to embark on exportation of their products. However, this could mostly be done with the assistance of banks availing entrepreneur bank loans. This study assessed the mutual relationship between bank loan and entrepreneur business export expansion in Plateau State. This research adopted the descriptive survey design approach. The population of 2,345,779 was used. However, Yamane formula was adopted to arrive at a sample size of 400. The simple random sampling method was used for the selection of entrepreneur business with a distribution of 495 questionnaires as self-administered. However, 435 responded and retrieved from entrepreneur business that enjoyed or were enjoying bank loans and had either engaged in exportation of their products or were working towards exportation. The research source of data was primary source. The five-point Likert-scale nature of questionnaire was applied and validated by three senior lecturers in related field. The method of data analysis was by linear regression employed to test the hypothesis to see the effect of bank loan on entrepreneur business export expansion. Finding revealed that bank loan had had significant positive effect on entrepreneur business export expansion in Plateau State. In conclusion, banks and entrepreneurs engaged themselves into different businesses. Entrepreneur business exports could be expanded when banks see entrepreneur business as mutually inclusive. Lots needed to be done to forester the exportation of entrepreneur business products in Plateau State. Recommendation was that entrepreneur business export expansion should be one of the main priorities of bank loans by continuous building up of banking relationship and develop specific special bank products for exportation of entrepreneur business products called: Bank Loan Entrepreneur Business Export Expansion (BLEBEE).