Debt funding has emerged as the most popular method of raising capital among newbie Micro, Small and Medium Enterprises in Kenya (MSMEs) standing at 42 percent preference ahead of grants and equity financing at 36 percent and 22 percent respectively, a new report now shows.
The Kenya Startup Ecosystem Report commissioned by Kenyatta University and other partners notes that debt as a standalone method of startup financing attains low success levels, with proprietors being forced to seek follow-up financing.
