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Returns to MSE Management Consulting in Ghana

There are a number of development organizations in Ghana that provide services to micro and small enterprises (MSEs) seeking to expand their operations.  However, as there are few rigorous evaluations of entrepreneurial development programs, IPA is working with local consultants to undertake a rigorous study aimed at understanding the key factors that prevent MSE entrepreneurs from developing and expanding their businesses as well as identifying the value of providing consulting services to them. 

In this study, local consultants are paired with MSEs, initially offering intensive support focusing on business development and management and then providing routine consulting services and advice throughout the year. 

160 Accra-based businesses are taking part in the study, 80 of which are randomly selected to receive intensive consulting services free of charge for one year.  After six months of consulting services, 80 of the 160 businesses are randomly selected to receive $200 to invest in their business.  The cash randomization is independent of which businesses receive the consulting services.  The study is designed in such a way that IPA can to isolate the individual impact of the consulting services, capital, and a combination of both.

Project Overview
Researchers
Dean Karlan
Sectors
Microfinance & Enterprise
Themes
Training
Research Questions
Can consulting and business support services help micro and small enterprises (MSEs) grow?
Country
Ghana
Partners
Ernst & Young
Sample
160 Accra-based businesses
Status
Ongoing