Building financial readiness to empower MSMEs beyond access to finance

As conversations around MSME development continue, one truth is becoming clear, access to finance cannot solely guarantee business success. Many enterprises secure loans and grants but struggle to manage them sustainably and effectively.

The issue is not always about lack of capital; but rather a lack of financial readiness. Across sub-Saharan Africa, more than 60% of MSMEs report needing loans they cannot access, highlighting that access remains a huge challenge.

Financial readiness, the ability to plan, record and account for business transactions is the missing link between access and growth. To truly empower entrepreneurs, Ghana’s entrepreneurial ecosystem ought to invest as much in building financial capacity as it does in providing capital.

Financial readiness goes beyond bookkeeping, it is about strategic money management, planning and accountability. Entrepreneurs who understand their numbers are better able to make informed decisions, attract investors and sustain growth.

Financial readiness builds credibility and resilience, helping MSMEs navigate shocks such as inflation, currency depreciation or market fluctuations.

In Ghana, studies show that over 70% of MSMEs do not keep proper accounting records, a weakness that directly undermines their sustainability and access to credit. Therefore, Ghana’s entrepreneurial agenda must focus not only on financing enterprises but also preparing them to grow with finance.

Many MSMEs, particularly in the informal sector, operate without any basic financial systems. The latest integrated Business Establishment Survey shows that 92.3% of businesses in Ghana operate informally, meaning most are not registered or do not keep formal accounts. Few maintain proper records, budgets or separation of personal and business finances.

This makes it difficult to track performance, secure credit or comply with tax requirements. Research from different parts of Ghana has found that in some Municipalities, around 60-63% of MSMEs do not prepare formal account at all, often due to low accounting skills and perceived cost. Women-led enterprises and rural entrepreneurs are often affected due to limited exposure to financial education and digital tools.

This is not about capability but about getting access to structured learning and mentorship opportunities.

To close the literacy gap, training programs must combine financial education with digital adoption. Digital tools such as mobile bookkeeping apps, electronic payment systems and online banking platforms, makes financial management easier and more transparent.

Yet, a recent national report on digital financial services shows that only about 37% of businesses in Ghana currently accept or use digital payment, with adoption particularly low in the agricultural and informal sectors.

This low uptake limits transparency, cash-flow tracking and the generation of credible financial records. Agencies such as the Ghana Enterprises Agency (GEA), National Entrepreneurship & Innovation Programme (NEIP), and development partners are already rolling out programs that integrate practical financial skills with mentorship and technology use. Expanding these efforts nationwide can help MSMEs formalize and strengthen their operation. Financial readiness in today’s economy is no longer manual, it is digital.

Financially ready businesses inspire trust. When MSMEs present accurate records and demonstrate cash flow discipline, they attract investors, banks and strategic partners. Strong financial systems also improve creditworthiness and reduce loan default risk.

Beyond attracting funds, financial discipline allows entrepreneurs to reinvest profit and scale sustainably, the true mark of empowerment.

To embed financial readiness within Ghana’s entrepreneurial ecosystem, agencies and financial institutions must integrate structured financial management components into all MSME support programs.

Partnerships with fintech institutions, local banks, and development partners can create tailored products that encourage accountability from credit scoring systems to digital savings platforms. By aligning these efforts with Ghana’s entrepreneurial agenda, financial readiness becomes a national priority rather than an afterthought.

The next phase of Ghana’s MSME growth story depends on how well entrepreneurs are equipped to manage resources. Access to finance opens doors, but financial readiness keeps those doors open.

By investing in people’s capacity to plan, record, and report, Ghana can unlock a generation of entrepreneurs who not only survive funding cycles but build lasting enterprises.

Empowering entrepreneurs financially is not just about giving them capital; it is about preparing them to create value with it. This is how Ghana will transform finance into lasting prosperity and build a resilient, entrepreneurial economy for the future.