Beyond Capital: Understanding Financial Constraints of Gujarat’s Entrepreneurs

Abstract

This study focuses at Gujarat entrepreneurs' perceptions of financial limitations. The survey questions on seed funding difficulties, finding alternative finance, and the perceived relationship between funding and business performance are used to gauge the perception of financial constraints. To reflect the general view of financial constraints, these factors are compiled into a composite Finance Constraint Index (FCI). The findings indicate that most entrepreneurs view finance access as a major obstacle. Additionally, the study discovers that neither gender nor educational attainment much alters these beliefs. The results indicate that in order to effectively assist entrepreneurs in overcoming funding obstacles, more focused financing solutions, enhanced investment-readiness initiatives, and more knowledge of alternative financial possibilities are required.