Dissertation topic and proposal Example | Topics and Well Written Essays - 1500 words

Topic and proposal - Dissertation Example The highly accepted classification of SMEs in UK and EU attributes to â€Å"the number of employees or annual turnover, with small enterprises constituting of less than 50 employees and medium size enterprise at more than 50 and less than 249 employees† (BIS Department for Business and Innovation Skills, pp. 1-7, 2010). The nature of ownership in SMEs is either the individual entrepreneur or the family investments, which later on is inducted by directors on behalf of the majority shareholders. The SMEs sector in UK has jumped to an enormous boom in the last couple of years by increasing the net to 400,000 firms every year and even the micro businesses or self-employment has contributed a significant turnover for over ? 200 billion to the economy even in the severe economic turmoil of recession on inflation (Amble, pp. 20-29, 2004). The small and medium sized business has emerged as a powerful source in contributing to net revenue of the economy by intervening for almost 13 % i n financial and business intermediation, such as real estate and business operations. In addition, by contribution in 12% to agricultural and fishing business, wholesales and retails at 21% indicating to largest contribution to the private sector turnover (BIS Department for Business and Innovation Skills, pp. 1-6, 2010). The role of SMEs enterprises has played a significant part in the economic and social growth followed by the industrialization, income, and employment generation to the economy (OECD Conference for SMEs, pp. 1-3, 2004). Research Aim: The important element of enterprises is to induct the easy or smooth availability of the capital for their start up or growing business. The imperfect capital market and the economic turmoil have created barriers for insufficient external funding to the SMEs that has forced the government intervention in equity and debt market to provide funds and loans to their ventures (Graham, pp. 56-64, 2004). The main aim of the dissertation of th e proposal is to ‘Highlight and analyze the significance of the financing intervention within the small and medium sized enterprises and their attributes’. It also aims to analyze the following in order to bridge the gap between the finance providers and the small business. 1. Close analyses of the SMEs and their access to external finance. 2. The financial growth and government intervention in SMEs 3. The needs and supply capabilities between SMEs and financial intermediaries. Research Objectives: The objective of the dissertation includes the detail literature review and problems faced by SMEs deployment of financial funds. The purpose of this research is to recognize the factors influencing the financial decision making of SMEs and any other alternative option for funds. The study will also focus on critical factors discussed as below (Competition Commission, pp. 1-3, 2002): 1. Identify the policies and regulations for the provision of funds by the bank 2. Identify t he various sources of finance available to the SMEs and their significance. 3. Identify and deployment of options which are used to improve the burden of cost and accountability of revenue and profits for SMEs. Research Questions: Following are the questions that highlight the main reasons for the research dissertation: 1. What are the factors that are affecting the SMEs financial market and access