SMALL SCALE INVESTMENT: A POTENTIAL TOOL FOR EMPLOYMENT GENERATION
(A CASE STUDY OF FINE BROTHERS COMMUNICATION LTD, ENUGU, LIMITED)
PROPOSAL
This research work is aimed at small scale investment as a tool for employment generation the study is necessary because of the role small scale business play in the overall employment generation and its contribution to the economic growth as well as mobilizing the growth resources of the nation which aids the development of local entrepreneur and the nation at the large .the study will focus attention on the sources of finance, government polices and the role of financial institution in the development of small scale business The study will engage both primary and secondary sources of data in other to obtain the necessary relevant information for the project. Questionnaires and direct interview will be carry out . also related literature text books. Magazine, newspaper, journals etc will be review and analyses for the project. The prominent cons tract envisaged in this project are time and finance collection and analyses of data requires a lots of time and  this couple with the other hectic academic programmed financial requirement such as production and distribution of questionnaires, transportation and other  expenses are another major limiting factor for this project  The study will delve into the needs for development of small scale in the nation economy. It will also identify the task facing small scale business establishment and operation of their business the study will also discuss the various problem that hinder the achievement of their aims and object of the small scale business as well as their future prospects. Possible solution and recommendation which will foster the development of small scale investment in the country will be offered
  TABLE OF CONTENT
CHAPTER ONE
1.1    Introduction                                                        
1.2    Background of the Study                                      
1.3    Statement of the Research Problem                       
1.4    The Research Question                                 
1.5    The significant of the study                           
1.6    Research Methodology                                 
1.7    Scope and the Limitation of the Study            
1.8    Definition of the Terms                                 
CHAPTER TWO
2.1 Introduction                                                  
2.2`Definition of Small-Scale Investment                
2.3 Form of Business Ownership                            
2.4 Types of Small-Scale Business                          
2.5 Setting up a Small Scale Business                     
2.6 Objective of small-scale business                      
2.7 Sources of finance for Small-Scale Business       
2.8 Procedures for Acquiring a Business Loan           
2.9 Importance of Small Scale Business                  
2.10 Business challenges of small scale Business      
2.11 Government polices for promoting small scale investment                                         
2.12 The role of financial Institution in the Development of Small-Scale Business             
2.13 Credit analysis of business enterprises by lending institutions                                                  
2.14 The basic Principal for Cannon of Bank Lending
2.15 Function of Government Support Agencies                
2.16 Employment Generating Capacity of Small-Scale Industries                                                                   
2.17 Problem faced by small scale investments                
2.18 Prospect of Small Scale Investment                        
        References                                                         
CHAPTER THREE
Research Methodology                                         
3.1 Introduction                                                  
3.2 Source of Data                                                      
3.3 Method of Data Collection                                        
3.4 Population                                                             
3.5 Sampling Techniques                                              
3.6 Validity and Reliability of Data                          
Reference                                                          
CHAPTER FOUR
4.0    Data Presentation and Analysis                      
4.1 Introduction                                                  
4.2 Data Presentation and Analysis                         
4.3 Interpretation of Data                                     
4.4 Analyzed of Research Findings                          
4.5 Test and Prove Of Hypothesis                          
CHAPTER FIVE
Summary, Conclusion and Recommendation            
5.1 Introduction                                                  
5.2 Conclusion                                                            
5.4 Recommendation                                           
Bibliography                                                               
Questionnaires
 CHAPTER ONE
1.1    INTRODUCTION
Nigeria as a nation blessed with both human and natural resources can attain high economic development with little effort and sincerity on the part of her citizens. One of the ways to achieve this economic development is through the establishment of an industries to process the huge maturely resources into conformable goods. Therefore the establishment of small-scale industries all over the country is a right step in the right direction. This will help the country to channel both her human and natural resources to the productive area to enhance economic growth.
The view has been held by many in the government, academic and business circle that small scale business should be treated separately from the large firms thus small scale businesses one frequently seen facing a range of problem than the larger ones.
The Nigeria business environment offers business opportunities. With the Nigeria business promotion degree of 1972 which was revised in 1977 and with various federal and state government business assistance, the economic environment is encouraging for business pursuit in addition, the small industries division of the federal ministry of industry has also be instituted to the further the interest of small scale business in response, small scale business are being established everyday but with survival difficulties some years back the family support programmed under the auspices of the family economic advance programs pledged to established small scale business in all local government area of the country the national directorate of employment (NDE) gives grants to beneficiaries so that they can start their own small scale enterprises. Also the Nigeria agricultural land development agency (NALDA) was put in a place4 of agro based industries to grow since most of the rural dweller are farmers the concept of people bank of Nigeria (PBN) come to limelight and billion of naira were pumped into the bank for on lending to small scale industrialist. Of recent the poverty alleviation programme (PAP) was launched to encourage people to established their own small scale enterprise to reduces the problem of unemployment and reduces the rate of importation of goods but with all this government programmed, our ethnocentrisms, lack of integrity and management myopia did not allow some of these programmed to achieve the much we expected from them.
Small scale business rely move proportionately on loan and grant to finance there, business operation. In many countries of the world, loans and grant have become the tools for improving small scale business. The need these tools for enhancing the productivity of their business the need these for enhancing the productivity of their business more so loan serve as the foundation upon which all business both small and big are built.
Unfortunately, the mortality rates of both old and new small-scale businesses high. It has been estimated that less than ten (10) out of every twenty (20) small-scale businesses established survival in the very year of its operations. Observations have also shown that small scale businesses do not perform to expectations due to lack of knowledge of source of finance potentials open to their owners. The effect of failure of small-scale businesses on employment can only be imagined. The need therefore to accord small-scale businesses special attention for employment generation and economic growth becomes more relevant now that the economy is undergoing difficulties. The researcher therefore consider it necessary to carry out this study so as to evaluate the contributions to economic growth as well as employment generations and to proffer possible solutions and recommendations which will foster the development of small scale investments.
1.2    BACKGROUND OF THE STUDY
In the world of telecommunication, which involves the transmission of one or more signals, of voice, data, video, Internet and fax over a short and long distances, there are three competing and complementary technologies. These are wired, wireless and satellite. Prior to the entry of Global System of Mobile Telecommunication in Nigeria, NITEL was the incumbent monopoly since 1963 and have operational land lines of about five hundred thousand (500,000) serving about two hundred and fifty thousand to three hundred and fifty thousand (250,000 – 350,000) households and business/commercial units.
The Nigeria Communication Commission, the national regulator successfully conducted a digital mobile license auction exercise lasting from 17th to 19th January 2001. The licensing process, which led to the emergence of three (3) digital mobile operations, earned the federal government a total revenue of eight hundred and fifty five thousand dollars. The three successful digital mobile operators are V-mobile (0802- by then Econet), MTN (0803) and M-Tel (0804). Globacom was later licensed 1st September 2002.
MTN Nigeria Communication Limited secured a license to operate digital Global System for Mobile Communication (Fine Brothers ) on February 9th , 2001.On may 16, 2001, it emerged as the first to make call on its Fine Brothers  network in the new dispensation. There after the company launched full commercial operation beginning with Lagos, Abuja and Port Harcourt.
The company have a salary work force of about seven thousand (7000) workers and created over thirty thousand (30,000) indirect jobs out of its growing distributors, dealers and vendors while coverage has extended to over one hundred (100) towns and a total of over five thousand (5000) communities across Nigeria. It have more than four million (4,000,000) active subscribers on its network.
Zain have changed its name five times. It started as “Econet”, then V-dacom and now V-mobil Airtel and now Zain. It is one of the first three (3) winners of the highly competitive Nigeria’s Fine Brothers  bid. It launched telephone services in Nigeria with a roll out on August 1st, 2001. A truly Nigerian company, Zain is fully owned by indigenous investors. Since its commencement of operations, Zain has extended its coverage to over ninety major town and five thousand communities and an active subscribers of over two million, eight hundred thousand (2.8 million) if employ about six thousand workers and created over twenty thousand (20,000) indirect job out of growing distributors, dealers and vendors.
 Fine Brothers  company launched service on august 29, 2003. It has been in forefront of the revolutionary changes in the Fine Brothers  sector in Nigeria its has an aggressive coverage plan in the line with its vision to make mobile a telephone assessable in Nigeria it become the fastest growing Fine Brothers  network in African, achieving one million subscribers and covering over 87 cities and town over nine month of operation . it has a subscriber based of over two million seven hundred thousand (2.7million ) and corers over three thousand (3000) town and cities.
The advantages of Fine Brothers  in Nigeria cannot be over emphasized some these advantages are summarized below:
a. Fine Brothers  operation creates employment opportunities directly and indirect .direct employment are those employed by Fine Brothers  companies while indirect are those employed by the distributors dealers, and vendors.
b. It create business opportunities to businessmen such as the distributors, dealers, vendor, Fine Brothers , phone booth operation
c.  Its saves times and energy business can be transacted through phone    thereby saving times and energy that should has been used in traveling       and from a distance for business negotiation
d. Its saves money transportation money that could has been used while    traveling for a business negotiation are saves as such business deals   are negotiated through the use of Fine Brothers phone
e. It eases traffic congestion as many users of Fine Brothers remain in their offices or home and passes any information to wherever they want without driving out.
f.  It raises revenue to their for the government through tax paid by Fine Brothers      companies
In the employment generation of global system for mobile commendation Nigeria small-scale businesses have the lightest shave. Many are employee as vendors, phone boot operators and others sell Fine Brothers  handset accessories such as batteries, battery chargers  covers etc. in our campuses to day one of the fastest growing bus mess is Fine Brothers  phone nosiness. Some scout for customers on standing position others sit by a round table rousts provided by the Fine Brothers companies. This happens in all strategic and vantage points of all our cities and towns.  
1.3     STATEMENT OF THE RESEARCH PROBLEM
Over the years, there is evidence that small-scale businesses have bean on the increased. This is because more people are being educated and the fact that government can no lounger employ most scoot leavers, Another reason is that with economic programmers such as open apprenticeship scheme, graduate employment programmed, poverty alleviation programmed etc.  To encourage individuals to go into private business and be self-reliance never lustrated. How ever most of the businesses find it difficult to survive in the first fire years of its stabs   manta. When we compare small scale businesses development in Nigeria with other countries like America, Japan, champ , twain etc, most of these countries big businesses started form the scratch as small scale businesses and their owners rinsed them into big businesses through hand work. The researcher there fore consider it necessary to examining the issues be land such state of affairs as .
1.     The worsening economic state of small scale businesses caused by the        present downswing or melt //down in the economy,
11.    Many small-scale businesses because of crisis or depressions often send small businesses to liquidation while others are saddled with problems and aliments of failure.  
111.  Lack of new business ideas and innovation by small-scale business      owners to implore on their operation thereby generating more employment.
1V.   In adequate funding resulting from strict procedures placed by financial institutions in giving out loans and advances to small scale industries.
V.     Government unstable policies towards small-scale businesses.
1.4     THE RESEARCH QUESTIONS
This study involves to addressing the following questions;
1.     In the face of the preset economic condition what strategies are needed     to enable small scale businesses sortie or successful be successful
11.    Would the admission of business partners be a better strategy than operating solely?
111.  Would the admission of business panther be a   better
strategy than      operating  solely?
1V.    Could a business survive the economic hard ship if it
diversifies its operations instead of concentrating on
our line of business?
V.     To what extent would stable government aid the operation and development of small-scale businesses?
V1.    Would liability in the financial intuitions procedures in giving out loans and advances aid the operations of small scale business thereby generating   more reemployment opportunities?.
1.4     THE SIGNIFICANCE OF THE STUDY
In all business endeavors, the primary objective is profit maximization. This is achieved through the provision of goods and services at fair, competition and affordable prices. No management can ignore profit maximization; otherwise it will find its self out of the business hence the significant of this study are
i.      To determine whether small-scale industries play any significant role toward the economic development of the nation      
ii.      To ascertain the role-played by small-scale business on employment generation in the country
iii.     Ascertain the role played by small-scale business as a tool for effective and efficient utilization of resources for economic growth of the country
iv.     It is designed to educate potential and prospective businessmen and readers on how to  set up and manages small-scale business
v.     To determine the best way or ways in which the government can       support and promote the small scale business to enable them (small scale businesses) provide more employment opportunities to the people
1.6    RESEARCH METHODOLOGY
Considering the nature of the study, the researcher will be used both primary and secondary sources of data writing this project. The primary source of data will take the form of direct interview with operators  and employees working at fine brothers ltd and extensive use of questionnaires will also be made, the simple random sampling method will be used which will allow all unit of population to be selected.  of phone both and extensive use of questionnaires will also be made the simple random sampling method will be used which will be used which will allow all unit of population be selected.
The secondary sources of data will involve gathering and analyzing existing related literature which include textbooks, periodical and unpublished materials.
1.7       DEFINITION OF TERMS
In every write up, there are certain words used which have different meanings to different people. It is in the light of this the researcher decided to define the following words as used in the study.
a.      LOAN: Amount of money collected from a bank or any other lending institutions, which is to be repaid with interest at an agreed period and terms.
b.      CAPITAL: Sum of money used for starting a businesses. It includes    
money and other assets such as machines, buildings, goods, etc that will be used to produce more wealth.
c.      COLLATERAL SECURITY:  These are Asset(s) pledged as security for repayment of a loan with agreement that if the loan is not repaid with an agreed period, it can be sold to recover the loan or debt owned.
d.      ENTREPRENEUR: An individual who has the ability to see and   evaluate business opportunities, who bear uncertainty, gather the necessary resources to take advantage of them and initiate appropriate action to ensure success, some how creates a business and industrial activity where none existed before.
e.      ECONOMY: The relationship between production, trade and the         supply of money in a particular country.
i.      M-Tel: Mobile Telecommunication Limited (Nigeria)
ii.      NITEL: Nigeria Telecommunication limited.
iii.     FINE BROTHERS : Global System of Mobile Communication
iv.     Telecommunication: Communications by radio, Telephone,     Television, Cable, Telegraph or satellite.
v.      Technology: The application of scientific study and the use of applied         sciences to practical tasks in industry.