ABSTRACT
This chapter considers financing options available for small firms as being formal or informal and that the informal ones are those that an entrepreneur could access without having to fulfil stringent requirements. It presents the choices made to finance small ventures in conjunction with reasons for anomalous financing behaviour native to entrepreneurs' culture, norms, and customs; the social-cultural milieu; and the government policies and directives. Entrepreneurs were engaged in tailoring, stationery, barber shops, retailing, hotels and safari, hardware, dressing salon, cosmetics, boutique, and aluminum and windows. The cultural milieu and state interventions legitimize or disapprove and/or promote or stifle entrepreneurial activities. Mostly entrepreneurs did not consider taking a loan or even asking for one when setting up the business, partly because of the social reasons and erratic government orders and policies. The whole aspect of financing might be influenced by prevailing policies and directives given by the government.
