Poor corporate governance worsens small business woes

According to him, the only guarantee for continuity in a firm is to put structures in place for the management of the business that will take care of the interests of all the stakeholders and enable the stakeholders to work together for the success of the company.

Speaking to the PUNCH, the acting Chief Executive Officer of the Institute of Directors’ Centre for Corporate Governance, Nerus Ekezie, said the impacts of corporate governance are monumental. “Organisations with good corporate governance systems are guaranteed to reduce the cost of capital, and the cost of loans, because investment or lending firms are confident in loan recovery. So, a major impact is that it lowers the cost of capital for the organisation,” he explained.

“If the Nigerian public sector embraces corporate governance, the needed foreign direct investment will flow into the country. If the institutions are doing well, it will enhance productivity and most importantly, social stability.“The Nigerian public sector needs to embrace corporate governance to attract foreign direct investment, enhance productivity, and improve social stability.

“For me, the less stringent these requirements are the better for small businesses. If you make them very stringent it is not going to be helpful. Small businesses cannot fully comply with these things. Let’s take registration with NAFDAC as an example. The cost of registering your product with NAFDAC is very high, and you have to do that for every package. If you have the same product in 50cl, 75cl and 100cl. Each of them will have to bear a number. So, the cost is heavy on small businesses.

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Review cashless policy, small business owners tell FGSmall business operators under the aegis of Micro, Small and Medium Scale Enterprises have asked the Central Bank of Nigeria to review its cashless policy to enhance business growth. Small business owners, go get POS gadgets from your bank just like everyone else does where people use their heads. The small fee you will pay in a month is not even 1% of what you give to your high flying pastors. Cashless policy has done more harm than good to the economy of Nigeria. What do i know? BATs new CBN gov will re-package it.
Source: MobilePunch - 🏆 8. / 63 Read more »

Need To Restructure Business Models Along Production CostThe rising level of inflation and monetary pressure have put Small Medium Scale Enterprises (SMEs), manufacturers and household income on knife-edge such that
Source: LeadershipNGA - 🏆 4. / 77 Read more »

Review cashless policy, small business owners tell FGSmall business operators under the aegis of Micro, Small and Medium Scale Enterprises have asked the Central Bank of Nigeria to review its cashless policy to enhance business growth. Small business owners, go get POS gadgets from your bank just like everyone else does where people use their heads. The small fee you will pay in a month is not even 1% of what you give to your high flying pastors. Cashless policy has done more harm than good to the economy of Nigeria. What do i know? BATs new CBN gov will re-package it.
Source: MobilePunch - 🏆 8. / 63 Read more »