📄 Abstract
Micro, Small, and Medium Enterprises (MSMEs) play a crucial role in promoting economic growth, generating employment, and reducing poverty, particularly in developing economies such as the Philippines. Despite their significant contribution to local economic development, many MSMEs continue to experience financial constraints that hinder business expansion and long-term sustainability. This study examined the level of access to finance, financing strategies, and financial barriers and their relationship with the growth sustainability of MSMEs in Sulat, Eastern Samar. A quantitative descriptive-correlational research design was employed. Data were collected from 20 registered MSME owners using a structured questionnaire. Descriptive statistics, weighted mean, and Pearson's Product-Moment Correlation were used to analyze the data. The findings revealed that most respondents were microenterprises engaged in the retail and service sectors with limited capitalization and workforce. MSMEs reported a moderate level of access to finance, with non-bank financial institutions perceived to be more accessible than banks and government financing programs. Respondents primarily relied on personal savings and informal borrowing to finance their business operations. High interest rates, collateral requirements, and complicated loan application procedures were identified as the major barriers to obtaining formal financial assistance. Correlation analysis revealed no statistically significant relationship between access to finance and the growth sustainability of MSMEs. Likewise, no statistically significant relationship was found between financial barriers and business growth sustainability. These findings suggest that, within the context of rural enterprises, business sustainability may be influenced by factors beyond financial access alone, including market conditions, managerial capability, and local economic opportunities. The study recommends strengthening financial literacy programs, simplifying lending procedures, improving awareness of government financing initiatives, and expanding institutional support to promote the long-term sustainability of rural MSMEs.
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📚 How to Cite:
Ma. Zerah Mae C. Nicart , ACCESS TO FINANCE, FINANCING STRATEGIES, AND FINANCIAL BARRIERS: THEIR RELATIONSHIP WITH THE GROWTH SUSTAINABILITY OF MICRO, SMALL, AND MEDIUM ENTERPRISES IN SULAT, EASTERN SAMAR , Volume 13 , Issue 6, June 2026, EPRA International Journal of Economics, Business and Management Studies (EBMS) , Pages: 218 - 223 , DOI: https://doi.org/10.36713/epra28563