A Systematic Literature Review on Financial Help seeking behavior of Small and Medium Entrepreneurs

Abstract

The financial help-seeking behavior is a process of successive decisions influenced by knowledge, attitudes, demographic, socio-economic profiles, family resources and socio-cultural constructs and a remedy for financial problems, financial stress, anxiety and business failures. The main objective of this study is to critically evaluate the literature on financial help-seeking behavior. The study identified different aspects and different measures of financial help-seeking behavior, level of financial help-seeking behavior of small and medium entrepreneurs, consequences of not obtaining financial help and methods of improving financial help-seeking behavior. The study revealed financial help-seeking behavior can be improved by developing primary and secondary education system, providing personal based financial training programs and providing guidance on the benefits of taking financial advices. Also, the literature suggested, most successful method is to follow professional financial advices rather than obtaining advices from non-professionals. The literature evidenced most of the men do not prefer to seek financial help compared to women and it can be developed through providing and emphasizing the benefits of taking help from professionals. Also, entrepreneurs who have better financial resources, better income, high financial self-efficacy, competency on financial management and more financial sophisticated need to follow financial help from professionals to safeguard their assets and to develop their business.