Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)

One of the important issues that have been discussed in the study of Small and Medium Enterprise ("SMEs") is their difficulty in getting access to external financing, particularly from the banking institutions. This problem occurs because the banking institutions are predominantly debt...

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Main Authors:	Abd Rahman, Nur Hasnida, Mohammed, Mustafa Omar
Format:	Article
Language:	English
Published:	Ministry of Higher Education, Sultanate of Oman 2017
Subjects:	HG3368 Islamic Banking and Finance
Online Access:	http://irep.iium.edu.my/61788/ http://irep.iium.edu.my/61788/ http://irep.iium.edu.my/61788/7/61788-Adoption%20of%20Musharakah%20Financing%20Model.pdf

id	iium-61788
recordtype	eprints
spelling	iium-617882018-02-02T02:35:45Z http://irep.iium.edu.my/61788/ Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES) Abd Rahman, Nur Hasnida Mohammed, Mustafa Omar HG3368 Islamic Banking and Finance One of the important issues that have been discussed in the study of Small and Medium Enterprise ("SMEs") is their difficulty in getting access to external financing, particularly from the banking institutions. This problem occurs because the banking institutions are predominantly debt based financing system which requires SMEs to fulfill banking requirements of providing adequate collateral and payment of high interest rates. SMEs inability to fulfill these requirements obliges them to rely heavily on internal financing and this limits their long-term growth and development. As financing is crucial to ensure SMEs' long-term growth and development, this study has been conducted to examine the potential of Musharakah as a viable alternative financing for SMEs. Accordingly, the Musharakah financing model was developed and a survey among SMEs firms in Malaysia was conducted to validate the potential of Musharakah financing model for SMEs. The results show that Musharakah financing has potential in providing SMEs' with a greater access to financing. Therefore, the model needs to be given a premier attention so that SMEs will have greater access to financing for their long-term growth and expansion. Ministry of Higher Education, Sultanate of Oman 2017-12 Article PeerReviewed application/pdf en http://irep.iium.edu.my/61788/7/61788-Adoption%20of%20Musharakah%20Financing%20Model.pdf Abd Rahman, Nur Hasnida and Mohammed, Mustafa Omar (2017) Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES). Omani Journal of Applied Sciences, 6 (1). pp. 19-31. ISSN 1990-5149 http://www.cas.edu.om/ckfinder/userfiles/files/Omani%20Journal%20of%20Applied%20Sciences_the%20sixth%20version.pdf
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	HG3368 Islamic Banking and Finance
spellingShingle	HG3368 Islamic Banking and Finance Abd Rahman, Nur Hasnida Mohammed, Mustafa Omar Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)
description	One of the important issues that have been discussed in the study of Small and Medium Enterprise ("SMEs") is their difficulty in getting access to external financing, particularly from the banking institutions. This problem occurs because the banking institutions are predominantly debt based financing system which requires SMEs to fulfill banking requirements of providing adequate collateral and payment of high interest rates. SMEs inability to fulfill these requirements obliges them to rely heavily on internal financing and this limits their long-term growth and development. As financing is crucial to ensure SMEs' long-term growth and development, this study has been conducted to examine the potential of Musharakah as a viable alternative financing for SMEs. Accordingly, the Musharakah financing model was developed and a survey among SMEs firms in Malaysia was conducted to validate the potential of Musharakah financing model for SMEs. The results show that Musharakah financing has potential in providing SMEs' with a greater access to financing. Therefore, the model needs to be given a premier attention so that SMEs will have greater access to financing for their long-term growth and expansion.
format	Article
author	Abd Rahman, Nur Hasnida Mohammed, Mustafa Omar
author_facet	Abd Rahman, Nur Hasnida Mohammed, Mustafa Omar
author_sort	Abd Rahman, Nur Hasnida
title	Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)
title_short	Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)
title_full	Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)
title_fullStr	Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)
title_full_unstemmed	Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)
title_sort	adoption of musharakah financing model for the long term development of small and medium sized enterprises (smes)
publisher	Ministry of Higher Education, Sultanate of Oman
publishDate	2017
url	http://irep.iium.edu.my/61788/ http://irep.iium.edu.my/61788/ http://irep.iium.edu.my/61788/7/61788-Adoption%20of%20Musharakah%20Financing%20Model.pdf
first_indexed	2023-09-18T21:27:37Z
last_indexed	2023-09-18T21:27:37Z
_version_	1777412297409429504

Adoption of musharakah financing model for the long term development of Small and Medium Sized Enterprises (SMES)

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