Open AccessThe Impact of Peer-to-Peer (P2P) Lending on Business Development of Small and Medium-Sized Enterprises
Author(s) -
Rindah Febriana Suryawati,
Duhita Paramaramya Putri Nurdana
Publication year - 2021
Publication title -
tijab (the international journal of applied business)
Language(s) - English
Resource type - Journals
ISSN - 2599-0705
DOI - 10.20473/tijab.v5.i2.2021.31540
Subject(s) - loan , business , peer to peer , descriptive statistics , small business , peer group , profit (economics) , financial institution , finance , economics , psychology , distributed computing , developmental psychology , statistics , mathematics , computer science , microeconomics
The problem faced by most micro-entrepreneurs in Indonesia is financing business. Peer-to-peer (P2P) lending is a non-bank financial institution that can be an alternative source of financing because of the requirements and easy application usage. This study aims to analyze the impact of peer-to-peer lending on business expenses, business turnover, total employment, total sales of products, and profits before and after obtaining a peer-to-peer lending loan and analyze factors affecting the increase in business turnover after getting a loan through peer-to-peer lending. The methods used in this study include the descriptive analysis method, paired t-test, and ordinary least square (OLS). The paired t-test results indicate that there is a significant difference between business expenses, business turnover, the amount of labor, the number of product sales, and profit before and after obtaining a peer-to-peer lending loan. The result of analysis with the OLS method shows that the length of business and expenditure of the business has a significant effect on the development of respondents' business turnover.