Open AccessAN ASSESSMENT OF THE INTENTION TO ACCEPT SHARIAH COMPLIANT CROWDFUNDING MODE OF FINANCING IN BORNO STATE, NIGERIA
Author(s) -
Sagir Muhammad Sulaiman,
Y Muhammad,
Muhammad Abdulaziz Muhammad
Publication year - 2021
Publication title -
journal of islamic monetary economics and finance
Language(s) - English
Resource type - Journals
eISSN - 2460-6146
pISSN - 2460-6618
DOI - 10.21098/jimf.v7i4.1271
Subject(s) - business , islam , state (computer science) , small and medium sized enterprises , sample (material) , face (sociological concept) , finance , accounting , marketing , computer science , social science , chemistry , algorithm , chromatography , sociology , philosophy , theology
Micro-, small and medium-sized enterprises (MSMEs) face numerous obstacles, such as a lack of funding, which hinder their growth and expansion. They must have access to long-term funding to improve and modernise their operations competitively. This study aims to incorporate Shariah-compliant crowd funding among MSMEs in Borno state of Nigeria. It applies partial least squares structural equation modelling (PLS-SEM) on a sample of 341 MSMEs and recommends the need to educate and enlighten them about the benefits of Islamic crowdfunding. The study also recommends the need to produce guidelines that will help in developing a legal and regulatory framework for the incorporation of crowdfunding into corporate financing structures. Finally, it is recommended that religious leaders at various levels organise educational programmes on the importance of Shariah-compliant crowdfunding.