CONSULTANCY SERVICE FOR SMALL SCALE BUSINESS (A CASE STUDY OF EZAD NIG LTD ALGBADO LAGOS)
TABLE OF CONTENTS
1.0 Introduction of the study
1.1 Definition of the concept of the study
1.2 Aims and objectives of the study
1.3 Scope of the study
1.4 Limitation/ problem of the study
1.5 Organization/ plan of study
1.6 Historical background of the case study
1.7 Definition of key concept/ terms
2.1 Literature review
2.2 Why do small businesses need help
2.3 Improving small business management
2.4 Who is to provide the services
3.1 Research methodology
3.2 Research procedure used
3.3 Research population and sample size used
3.4 Statistical method used.
4.1 Data presentation and analysis
4.2 Methods of data collection
5.1 Summary of findings
1.1 DEFINITION CONCEPT OF THE STUDY
The project described the system which has successfully been used provide service to small enterprises at a reasonable cost. These services are provided by small enterprises advisors or consultant.
It is important from the onset to explain the meaning of small enterprises. The term can be defined in various ways according to the circumstances in which it is being used.
The Harvard business school in united states offers a course and these are said to have annual turnover ofless ten million dollars. Sometimes people classify business by the number of employees and maximum numbers of fifty, a hundred or more people have been used to define the point at which a business ceases to be “small” yet, another way of describing the size of a business is to refer the ways decision are taken in it. For the purpose of this project the researcher choose this method and say that we are mainly concerned with business where the manager is not a specialist in management but is chiefly occupied in carring out the main function of the business.
In the type of business a single person has undertaken the risk of production the probably provides all the capital though to make a start, he may have to borrow from friends or relations.
He is thus the owner of the business shouldering the entire responsibility of its management and operations success of failure depends primary on his ability to produce things that other people need at a price which they are prepared to pay that is upon his efficiency as a producer.
If he is successful, he reaps his reward in the form of profits which accrue solely to him, though subject to taxation by the state but if he is unsuccessful, he must bear the entire loss himself.
The manager of these small businesses can be skilled carpenters or metal workers and in a shop he spends most of his time selling goods across the counter.
It should also be cleared that there are enormous number of the type of enterprises which can benefit from a service such as it is described in tails project.
No business is too small, the concord is on people rather than with money and if a business is in the main occupation of at least one person, it deserves assistance and attention however small its turnover may be.
there are such large number of very small business enterprises and there is infact, very little rinks that there will be any difficulty in deciding how big a business must be before it cease to be qualified for advice and assistance.
If all business with specialist manager are excluded, such enterprises like the ones won by a carpenter, a tailor, a mechanic and perhaps general metal workers are included.
In farming areas, there are often small mills to process small holder produce large villages or small towns may be served by bakers, bicycle repairs, garages, blacksmith, brick makers, bus and tax operators and shoe makers as well as having large numbers of retail shop. The number and variety of these small enterprises will depend on the community they serve.
1.2 AIMS AND OBJECTIVES OF THE STUDY
The main aim and objectives of the study is to help in providing the system that has been successful used to provide management advisory services to small enterprises at reasonable cost. These services are provided by small enterprises advisors or consultants.
It also includes the enlightment of the relevance of consultancy services to small business and the economy of Nigeria in general.
Furthermore it discusses the contributions of consultancy from to the fast development of Nigeria economy.
It is generally recognized that small business enterprises have important role to play in the economic progress of any society.
This research will describe a particular system for organization and training small enterprises owners and persons who give expert advises to them that is the consultants or advisors.
Therefore could however, be sold that at the end of this work most of us who are willing to start business will find it easy and convenient.
1.3 SCOPE OF THE STUDY
The research highlights the needs for having consultancy services in the establishment and running of small scale business. The study attempts at highlighting why the services of the consultancy firms are needed by the owners of small scale business clients.
It is also goes further to discuss at length how various small scale business having benefit from the services rendered to them by various consultancy firm especially the case study under discussion. Also in the context of this study are various approaches adopted by the consultant firms to provide up to date services for their client.
It is also within the scope of the study to explain how the services renderd to small scale business by the various consultant firms contributor to the fact development of the economy of this great country (Nigeria).
It could however be said that the scope of the study is rich indeed as the readers of this work will find it beneficial now and in the nearest future.
In the light of the above I have consulted a group number of books, journals, and magazines, I also conducted interview with very few workers of Ezad Nigeria limited and a staff of a recognized consultant firm.
1.4 LIMITATION/ PROBLEMS OF THE STUDY
The scope of this study is limited to the context of 1.3 above because of the persistent problem of finance. The researcher traveled to more states to gather more information from journals textbooks magazines or meeting a host of other consultants.
As you all know that those I had my interviews with are professionals, who are always busy, so the interview I had with them on their job was very brief. Apart from this, the researcher also have all the notes and textbooks collected from all my lecturers and even going to the extent of discussing the topic with all the student who are versed in it.
But because of limited time it is very difficult for me to do that. And this is due to my tight schedules in and outside the school.
1.5 ORGANIZATION/ PLAN OF THE STUDY
The organization of the study will be highlighted on why smaller enterprises need help. If the need of any specific group of small business is investigated, we find out that they do not always need what they believe they really need. Never the less, this research will help us to know what small business enterprises really need
The organization of the study will also be extended to the reason why small management should be improved. Among the reasons are (1) there are very large number of them, (2) they are widely spread or scattered all around (3) most of them are not educated. Then we are also going to know the types of training methods to be used like radio, books, and classroom instruction etc.
The research will also help us to recognize the persons that are in the best position to provide service to small business.
1.6 HISTORICAL BACKGROUND OF THE CASE STUDY
As the economy of Nigeria is becoming a fast developing one, there is the need for every businessman and woman to take advantage of the internal opportunities opened to them. During the 1980s, there was a very high demand for some items like snacks, and other fast food in some part of the country especially in the big cities where a vast majority of the citizen are either civil servant or self employed businessman and women. This demand arose because, majority of people find it extremely difficult to wake up in the morning and cook before finding their way to their working places.
In the light of the above, many business man and woman went into business like banking, ice cream making and similar product on the 26th day of September 1989, a business man in person of Elegbede Zacheus, commenced a business in banking cheeps, frying doughnuts etc and made his enterprise Ezad foods, with time there was a significant expansion in his business and this called for diversification. Mr. Elegbede Zacheus got the service of a consultancy firm.
He was helped to see the need for diversifying his business and he was also helped to see benefit of taking a particular business prescribed to him. After the consultation, he saw the need to enter into the soap making business and this dream was realized in July 1992 and Ezad soap came into being.
Today the business is really experience what can be described as economic boom. It has also been successful in spite of the economic instability the country is facing as a whole.
1.7 DEFINITION OF KEY CONCEPT/TERMS SMALL BUSINESS
Cama (1990) section 352 sub-section it gives us an insight into company or business that are qualified as small company. The section states that for a business to be viewed as small business it must. Fulful the following conditions.
1. Be a private company
2. Has a turnover of not more than N2m or an amount fixed by the CAC (corporate affair commission)
3. The net asset value is not more than N1m or such an amount specified by CAC.
4. None of the member is a foreigner
5. That it is not owned by government, or its agencies.
6. That the directive between themselves own nothing less than 5% of the equity share of the company.
These are the person that provide active and training to small business owner they are known as advisors.
These are the service, training or assistance render or given to small business enterprises.
These are the person that receive the services or assistance rendered by the consultant. They can also be referred to as small business owners.
This may be government and other organization that are interest in extending various modern techniques in developing countries not because they are making money by selling them but their use would benefit the people
These are organization that volunteers themselves in training small business..