The Impact of Working Capital and on Access to Credit in Small and Medium Enterprises in Cameroon

The general objective of this study examine the effects of working capital on the credit accessibility of Small Medium Enterprises (SMEs) in Bamenda. The study used primary data through structure questionnaires. A population of the study was made up of 384 SMEs under the manufacturing, trading, construction and service sector excluding real estate and renting activities with a sample size of 195 selected using simple random sampling method. A linear regression model was used to analyze quantitative data and was developed and tested to explain the relationship between various proxies of working capital management practices and credit accessibility of SMEs in Bamenda. The study recommends that SMEs managers should be thoroughly trained on working capital management skills. The managers should also undergo continuous development programs through interactive symposiums, conferences, and open forums. The study advocated for increased government support to the SMEs sector. This can be done through resource allocation in this sector. The study also recommends that in future researchers should do a follow up study in the same area so as to monitor and evaluate for improvements in the management of working capital management practices.

Keywords: Small and Medium Size Enterprises, Working Capital, Credit Accessibility.