The Cause of Small Scale Business Failures in Nigeria and its Remedies

THE CAUSE OF SMALL SCALE BUSINESS FAILURES IN NIGERIA AND ITS REMEDIES. (A CASE STUDY OF ENUGU)

The concepts small-scale business varies from one country to another and from one industry to another even within the same country. Many indicators and parameters like value of assets, turnover, number of employees, cost of investment and other criteria which have more relevance to the industrial polices of Nation have en used to characterize small-scale business. [Read more…]

Fraud and Financial Malpractice as A Leading Factor in Business Failure

Fraud and Financial Malpractice as A Leading Factor in Business Failure

DEFINITION OF DISTRESS/FAILURE OF A CORPORATION

Failure of a corporation can be viewed from many perspectives, according to Frcar (1990) Economic failure of a corporation refers to a situation where a firm’s net rate of return on investment, adjusted for risk is significantly lower than the prevailing rate of interest while legal failure refers to a period or situation when the assets of the company are not sufficiency to meet the legally enforcement claims of its creditors. Technical insolvency on its own describes a situation in which a firm finds itself such that it is unable to meet its current obligations even though its total while bank raptly in an equity sense refers to a state where a firm’s total liabilities has outstrip its total assets” [Read more…]