QUESTIONNAIRE -- ENTERPRISE ACCESS TO FINANCE...

1

QUESTIONNAIRE -- ENTERPRISE ACCESS TO FINANCE

Company:

Staff interviewed:

Interviewers:

Date:

READ THE FOLLOWING TO THE RESPONDENT BEFORE PROCEEDING.

The goal of this survey is to gather information and opinions about the sources of finance of your

company, obstacles in seeking and obtaining financing for your business, and the main challenges

for your business to grow. The information gathered here will help the World Bank to develop

policy recommendations and programs that support private sector development and growth in

Georgia.

The information obtained here will be held in the strictest confidentiality. Neither your name nor

the name of your business will be used in any document based on this survey.

Please may I speak to the person with primary responsibility for taking financial decisions in your

business?

Verify right person.

1. Can I just confirm that you are the person who has primary responsibility for making financial

decisions in your business?

1 Yes

2 No |__|

Interviewer: if respondent answered ‘Yes’ in 1, continue. If respondent answered ‘No’, ask to talk

to the person with primary responsibility for handling financial matters in the business.

A. COMPANY INFORMATION

A.1. For this survey we need to talk to businesses of different sizes and in different industry sectors. Can

you confirm that your business operates in _________________ (sector)?

1 Yes (GO TO A.3)

2 No (GO TO A.2) |__|

INTERVIEWER: ASK IF RESPONDENT ANSWERED NO AT 1A

A.2. What industry sector do you operate in? PROBE TO PRECODES – SINGLE CODE

|__| Agriculture & forestry & fishing

|__| Manufacturing - Processing & Food from agricultural activities + manufacturing of food from

non-agricultural activities ( tobacco and beverages)

|__| Manufacturing/apparel

|__| Manufacturing - All other manufacturing (mining, paper, plastic, chemical, pharmaceutical,

machinery, car assembly, electronics, home appliances, crafts, small hydropower stations, other)

|__| Construction - General construction ( including general building & civil engineering)

|__| Logistics/transportation

|__| Retail Trade & Repairs (motor only)

2

|__| Hotels & restaurants

|__| Business services (auditing and accounting, financial consulting, legal, other business

consulting/services)

|__| ICT and high value added sectors (cinema, industrial engineering, web design, fashion etc)

|__| Other, please specify ______________________

INTERVIEWER: ASK ALL

A.3. Including yourself, how many people are currently employed in your business?

INTERVIEWER: PLEASE NOTE THAT THIS INCLUDES FULL AND PART TIME

EMPLOYEES BUT SHOULD ONLY REFER TO THE Full Time Equivalent (FTE) number of

EMPLOYEES. SINGLE CODE

1 1 (self-employed)

2 2-4

3 5-9

4 10-20

5 21-49

6 50-100

7 101-249

8 250+

-8 Don’t know

-9 Refused |__|

A.3.1. In the next 12 months, do you expect the number of employees working in your business to

increase, decrease, or stay the same?

1 Increase

2 Decrease

3 Stay the same

-8 Don’t know

-9 Refused

A.4. How many of your employees are members of your family (apart from yourself)?

Record number |__||__||__|

A.5. What is this firm‘s current legal status? : SHOW CARD 1

1 Shareholding company with shares traded in the stock market

2 Shareholding company with non-traded shares or shares traded privately

3 Sole proprietorship (GO TO A.7)

4 Partnership

5 Limited partnership

6 Other (SPONTANEOUS–SPECIFY) ___________________

-8 Don’t know (SPONTANEOUS)

-9 Refused |__|

INTERVIEWER: PLEASE NOTE WHEN A.5 IS ‘3’ (SOLE PROPRIETORSHIP), WRITE 100%

3

FOR QUESTION A.6.

A.6. What percentage of this firm does the largest owner or owners own?

1 |__||__||__|%

-8 Don’t know (spontaneous)

-9 Refused |__|

A.7. What percentage of this firm is owned by each of the following: SHOW CARD 2

% Don’t know

(Spontaneous)

Private domestic individuals, companies or organizations |__||__||__| -8

Private foreign individuals, companies or organizations |__||__||__| -8

Government or State (IF 100% END INTERVIEW) |__||__||__| -8

Other |__||__||__| -8

100%

INTERVIEWER: CHECK THAT TOTAL SUMS TO 100% (UNLESS RESPONDENT DOES

NOT KNOW)

A.8. Amongst the owners of the firm, are there any females?

1 Yes

2 No (GO TO A.10)

-8 Don’t know (Spontaneous) (GO TO A.10)

-9 Refused (GO TO A.10) |__|

A.9. What percentage of the firm is owned by females?

1 |__||__||__|%


-9 Refused |__|

A.10. In what year did this establishment begin operations? INTERVIEWER: PROVIDE FOUR

DIGITS FOR YEAR

1 Year establishment began operations |__||__||__||__|


-9 Refused |__|

A.11. How many people did this establishment employ when it started operations? Please include all

employees and managers.

INTERVIEWER: INCLUDE RESPONDENT WHEN APPLICABLE, PLEASE NOTE THAT

THIS INCLUDES FULL AND PART TIME EMPLOYEES BUT SHOULD ONLY REFER TO

THE Full Time Equivalent (FTE) number of EMPLOYEES.

1 Full-Time Equivalent employees at start-up |__||__||__||__|


-9 Refused |__|

A.12. Was this establishment formally registered in the National Registry when it began operations?

1 Yes

4

2 No (GO TO A.14)

-8 Don’t know (Spontaneous) (GO TO A.14)

-9 Refused (GO TO A.14) |__|

A.13. In what year was this establishment formally registered? INTERVIEWER: PROVIDE FOUR

DIGITS FOR YEAR

1 Year establishment formally registered |__||__||__||__|

2 Never registered (Spontaneous)


-9 Refused

|__|

A.14. How many years of experience working in this sector does the Top Manager have?

1 Manager’s experience in sector (in years) |__||__|

2 Less than one year


-9 Refused |__|

A.15. What is the highest level of education of the top manager?

1 Primary Education

2 Secondary Education

3 College Degree

4 Masters

5 PhD

6 Other (specify) ______________________

-8 Don’t know

-9 Refused |__|

A.16. Is the Top Manager female?

1 Yes

2 No

-8 Don’t know (Spontaneous)

-9 Refused |__|

A.17. What best describes the location of your primary business premises? (select one)

1 Dedicated premises

2 My house

3 Marketplace

4 Other (Specify) ______________________


-9 Refused |__|

A.18. What was your business’ turnover in fiscal year [insert last complete fiscal year], as per the

following bands? READ OUT - SINGLE CODE

1 Up to $$$30,000

2 $$$ 30,001 - $$$100,000

5

3 $$$ 100,001 – $$$ 1,500,000

4 $$$ 1,500,000 – $$$ 2,500,000

5 $$$ 2,500,000 – $$$ 5,000,000

6 $$$ 5,000,001 – $$$ 10,000,000

7 $$$ 10,000,001 +

-8 Don’t know

-9 Refused |__|

A.19. Does this establishment have an internationally-recognized quality certification?

(INTERVIEWER: SOME EXAMPLES ARE ISO 9000 or 14000, or HAPC)

1 Yes

2 No

3 Still in process

-8

Don’t know (Spontaneous) |__|

A.20. In fiscal year [insert last complete fiscal year], did your business export goods or services outside

of Georgia or not?

1 Yes

2 No (GO TO A.22)

-8 Don’t know (Spontaneous) (GO TO A.22) |__|

INTERVIEWER: ASK A.21 IF RESPONDENT ANSWERED YES AT A.20

A.21. Which of the following bands did the total value of these exports of services or goods fall into?

1 Up to $$$ 50,000

2 $$$50,001 - $$$100,000

3 $$$100,001 - $$$500,000

4 $$$500,001 - $$$1.5 m

5 $$$1,5m +

-8 Don’t know

-9 Refused |__|

A.22. Please fill in values in the following table about your business in fiscal year [insert last complete

fiscal year]

in thousands of $$$ Don’t

know

Refused

Total annual sales for all products and services |__||__||__|,|__||__||__| -8 -9

Total costs (including materials, energy, labor, etc) |__||__||__|,|__||__||__| -8 -9

Total profits |__||__||__|,|__||__||__| -8 -9

Total debt |__||__||__|,|__||__||__| -8 -9

Value of buildings owned |__||__||__|,|__||__||__| -8 -9

Value of equipment and vehicles owned |__||__||__|,|__||__||__| -8 -9

Value of inventories (raw materials, semi-finished

goods, finished goods) |__||__||__|,|__||__||__| -8 -9

6

A.23. Please fill in values in the following table about your business in fiscal year [insert three complete

fiscal years ago]

in thousands of $$$ not

operating 3

years ago

Don’t

know

Refused

Total annual sales for all products

and services |__||__||__|,|__||__||__| -7 -8 -9

Total costs (including materials,

energy, labor, etc) |__||__||__|,|__||__||__| -7 -8 -9

Total profits |__||__||__|,|__||__||__| -7 -8 -9

A.24. In fiscal year [insert last complete fiscal year], what percentage of this establishment’s materials

and supplies were:

SHOW CARD #

Percent Don’t

know

Refused

Purchased for direct sale to consumers |__||__||__|% -8 -9

Purchased as raw materials for further processing or production |__||__||__|% -8 -9

Purchased as processed or manufactured materials for further

processing or production |__||__||__|% -8 -9

A.25. Please evaluate the development of your business over the last 24 months

1 Declined significantly

2 Declined somewhat

3 Remained the same

4 Improved somewhat

5 Improved significantly

-8 Don’t know

-9 Refused |__|

A.26. By looking at card #, can you tell me which of the elements of the business environment included in

the list, if any, currently represents the biggest obstacle faced by this establishment?

1 Access to finance

2 Access to land

3 Business licensing and permits

4 Corruption

5 Courts

6 Crime, theft and disorder

7 Customs and trade regulations

8 Electricity

9 Inadequately educated workforce

10 Political instability

11 Practices of competitors in the informal sector

12 Tax rates

13 Transport |__|

8

B. BANK FINANCE

READ THE FOLLOWING TO THE RESPONDENT BEFORE PROCEEDING:

I would like to ask you a few questions about how you finance the operations of this establishment.

B.1. At this time, does this establishment have a checking or savings account?

1 Yes

2 No (GO TO B.4)

-8 Don’t know (Spontaneous) (GO TO B.6)

-9 Refused (GO TO B.6) |__|

B.1.a Is this account under name of the establishment or manager

1 Establishment

2 Manager

-8 Don’t know

-9 Refused

B.1.b Is this account also used for personal expenses of owner/manager?

1 Establishment

2 Manager

-8 Don’t know

-9 Refused

B.2. In which institution do you have your main checking or savings account?

1 Bank 1 [Identify relevant banks]





6 Microfinance Institution

7 Other (Specify) ______________________


-9 Refused |__|

B.3. What is the annual interest rate that this establishment earns on its savings?

1 |__||__||__|% (GO TO B.6)

-8 Don’t know (spontaneous) (GO TO B.6)


B.4. What is the main reason for this establishment not having a checking or savings account?

1 No need for checking (current) or savings

account

2 Application procedures are too complex

9

3 No or little access to bank branches

4 Distrust of banks

5 Fees are too expensive

6 Did not think it would be approved

7 Other (Specify) ______________________


-9 Refused |__|

B.5. What do you consider would be the primary barrier/obstacle for companies to have a checking or

savings account?

1 Lack of Cash

2 Lack of institutions to save

3 Not being able to immediately get money

4 Don’t trust financial institutions

5

6

Don’t need it

Other (specify) ___________________


-9 Refused |__|

B.6. In your own opinion, if you want to get a loan from a financial institution, how important are the

following factors? Please note we want to hear your own view NOT the lender’s.

(Rate from 1 to 5, with 1 being least important and 5 very important):

1 Convenient location of financial institution 1 2 3 4 5

2 Quick disbursement of loan (quick processing of loan application) 1 2 3 4 5

3 Quality of service of financial institution’s staff 1 2 3 4 5

4 Low interest rate/cost of borrowing 1 2 3 4 5

5 Convenient repayment period 1 2 3 4 5

6 Absence of requirement for immovable property as collateral 1 2 3 4 5

7 Availability of other financial services from same financial institution 1 2 3 4 5

B.7. In fiscal year [insert last complete fiscal year], what percentage of material inputs or services was

purchased on credit (paid after delivery)?

1 Purchased on credit |__||__||__|%


-9 Refused |__|

B.8. In fiscal year [insert last complete fiscal year], what percentage of this establishment’s total annual

sales of its goods or services were sold on credit (paid after delivery)?

1 Sold on credit |__||__||__|%


-9 Refused |__|

B.9. Over fiscal year [insert last complete fiscal year], please estimate the proportion of this

establishment’s working capital that was financed from each of the following sources?

10

INTERVIEWER: WORKING CAPITAL IS THE MONEY AVAILABLE TO THE

ESTABLISHMENT FOR DAY-TO-DAY OPERATIONS

SHOW CARD 18

Percent Don’t know

(Spontaneous)

Refused

Internal funds or retained earnings |__||__||__| -8 -9

Owners’ contribution or issued new equity shares |__||__||__| -8 -9

Borrowed from banks (private and state-owned) |__||__||__| -8 -9

Borrowed from non-bank financial institutions which

include microfinance institutions, credit cooperatives,

credit unions, or finance companies

|__||__||__| -8 -9

Purchases on credit from suppliers and advances from

customers |__||__||__| -8 -9

Other (moneylenders, friends, relatives, bonds, etc.) |__||__||__| -8 -9

100%

INTERVIEWER: CHECK THAT TOTAL SUMS TO 100%, (UNLESS RESPONDENT DOES

NOT KNOW OR REFUSED TO ANSWER)

B.10. In fiscal year [insert last complete fiscal year], did this establishment purchase any fixed assets,

such as machinery, vehicles, equipment, land or buildings?

1 Yes

2 No (GO TO B.13)



B.11. In fiscal year [insert last complete fiscal year], how much did this establishment spend on

purchases of:

LCUs Don’t know

(Spontaneous)

Refused

Machinery, vehicles, and equipment

(new or used) |__|,|__||__||__|,|__||__||__| -8 -9

Land and buildings |__|,|__||__||__|,|__||__||__| -8 -9

B.12. Over fiscal year [insert last complete fiscal year], please estimate the proportion of this

establishment’s total purchase of fixed assets that was financed from each of the following sources:

SHOW CARD 19

Percent Don’t know

(Spontaneous)

Refused

Internal funds or retained earnings |__||__||__| -8 -9

Owners’ contribution or issued new equity shares |__||__||__| -8 -9

Borrowed from banks (private and state-owned) |__||__||__| -8 -9

Borrowed from non-bank financial institutions which

include microfinance institutions, credit cooperatives,

credit unions, or finance companies

|__||__||__| -8 -9

11

Purchases on credit from suppliers and advances from

customers |__||__||__| -8 -9

Other (moneylenders, friends, relatives, bonds, etc.) |__||__||__| -8 -9

100%

INTERVIEWER: CHECK THAT TOTAL SUMS TO 100%, (UNLESS RESPONDENT DOES

NOT KNOW OR REFUSED TO ANSWER)

B.13. Did this establishment use letter of credit [A LETTER FROM A FINANCIAL INSTITUTION

GUARANTEEING THAT PAYMENT TO A SELLER OF GOODS/SERVICES WILL BE RECEIVED

ON TIME AND FOR THE CORRECT AMOUNT] between fiscal years [insert last complete fiscal

year minus three] and [insert last complete fiscal year]?

1 Yes

2 No (GO TO B.15)



B.14. Did access to letter of credit become more difficult between fiscal years [insert last complete fiscal


1 Yes

2 No


-9 Refused |__|

B.15. Did this establishment use trade insurance [INSURANCE PRODUCT TO PROTECT SUPPLIERS

AGAINST THE RISK OF NON-PAYMENT OF GOODS OR SERVICES BY THEIR BUYERS]

between fiscal years [insert last complete fiscal year minus three] and [insert last complete fiscal

year]?

1 Yes

2 No (GO TO B.17)



B.16. Did access to trade insurance become more difficult between fiscal years [insert last complete

fiscal year minus three] and [insert last complete fiscal year]?

1 Yes

2 No


-9 Refused |__|

B.17. Did this establishment use factoring [SELLING YOUR INVOICES TO A COMPANY THAT

LATER HAS TO COLLECT THE PAYMENTS. THE FACTORING COMPANY MAKES A PROFIT

BY PAYING YOU LESS CASH THAT THE FACE VALUE OF THE INVOICES] between fiscal years

[insert last complete fiscal year minus three] and [insert last complete fiscal year]?

1 Yes

2 No (GO TO B.19)


12


B.18. Did access to factoring become more difficult between fiscal years [insert last complete fiscal


1 Yes

2 No


-9 Refused |__|

B.19. At this time, does this establishment have an overdraft facility [CREDIT AGREEMENT WITH A

FINANCIAL INSTITUTION THAT ALLOWS AN ACCOUNT HOLDER TO WITHDRAW MORE

THAN WHAT HE HAS IN THE ACCOUNT]?

1 Yes

2 No



B.20. In what year was the most recent overdraft facility approved for this establishment?

INTERVIEWER: PROVIDE FOUR DIGITS FOR YEAR

1 Year most recent overdraft facility |__||__||__||__|

2 The establishment has never had an overdraft facility approved (GO TO B.23)



B.21. Referring to this most recent overdraft facility approved for this establishment, what is (was) the

average nominal annual interest rate?

[INTERVIEWER PLEASE ALWAYS RECORD THREE DECIMALS, FOR EXAMPLE X.XXX

1 Average nominal annual interest rate |__||__||__|.|__||__||__|%


-9 Refused |__|

B.22. Referring to this most recent overdraft facility approved for this establishment, what is (was) the

overdraft limit?

1 Overdraft limit |__|,|__||__||__|,|__||__||__|


-9 Refused |__|

INTERVIEWER READ THE FOLLOWING: Now I would like to ask you about lines of credit and

loans

B.23. At this time, does this establishment have a line of credit or a loan from a financial institution?

[LINE OF CREDIT REFERS TO CREDIT EXTENDED TO A BORROWER IN WHICH THERE IS A

MAXIMUM LOAN BALANCE THAT THE BORROWER IS PERMITTED TO MAINTAIN. THE

BORROWER CAN USE CREDIT AT ANY TIME AS LONG AS HE DOES NOT EXCEED THE

13

MAXIMUM SET IN THE AGREEMENT. PLEASE NOTE THIS DOES NOT INCLUDE CREDIT

CARDS]

1 Yes (GO to B23.a)

2 No (Go to B24)



B.23.a How many loans/lines of credit does the firm have?

1 1

2

3

4

2

3

3+


-9 Refused |__|

B.24. In what year was the most recent line of credit or loan approved for this establishment?

INTERVIEWER: PROVIDE FOUR DIGITS FOR YEAR

1 Year most recent line of credit/loan approved |__||__||__||__|

2 The establishment has never had a line of credit or loan approved (GO TO B.37)



B.25. Referring to this most recent line of credit or loan, is (was) it a line of credit or a loan?

1 Line of credit

2 Loan

3 Both loan and line of credit

-8 Don’t know

-9 Refused |__|

B.26. Referring to this most recent line of credit or loan, what type of financial institution granted this

loan? SHOW CARD 20

1 Private commercial banks

2 Non-bank financial institutions (including microfinance institutions, credit

cooperatives, credit unions)

3 Leasing companies

4 Other non-bank financial institutions (angel funds, venture capital, etc.)

5 Other (Specify) ______________________


-9 Refused |__|

B.27. What is (was) the name of the financial institution that granted this most recent line of credit or

loan?

14

SHOW CARD ##

1 Enter the number from the show card ____________________

2 Other (Specify) ______________________


-9 Refused |__|

B.28. Referring only to this most recent line of credit or loan, was it obtained because of the

establishment’s association with any of the following?

Yes No Don’t know

(Spontaneous)

Refused

Shareholders 1 2 -8 -9

Suppliers 1 2 -8 -9

Consumers 1 2 -8 -9

Off-takers 1 2 -8 -9

Government officials 1 2 -8 -9

B.29. Approximately what fraction of the loan money was used for the following purposes? SHOW

CARD 20

Percent

1 Purchase inventories/ goods for sale |__||__||__|

2 Purchase fixed assets (buildings, equipment) |__||__||__|

3 Personal / household expenses |__||__||__|

4 Pay off other debts |__||__||__|

6 Microfinance Institution |__||__||__|

7 Other (Specify) ______________________ |__||__||__|


-9 Refused |__|

CHECK THAT TOTAL OF PERCENTAGES EQUALS 100%

B.30. When applying for this most recent line of credit or loan what was the main reason why this

establishment chose this financial institution?

1 Personal relationship with the institution

2 Interest rate offered

3 Collateral requirements

4 Maturity offered (total duration)

6 Have other products with this institution (e.g. savings or

transaction accounts)

7 Proximity of institution

8 Reputation of institution

9 Only option available

-8 Don’t know

-9 Refuse |__|

15

B.31. What was the average nominal annual interest rate on this most recent line of credit or loan?

[INTERVIEWER PLEASE ALWAYS RECORD THREE DECIMALS, FOR EXAMPLE X.XXX]

1 Average nominal annual interest rate |__||__||__|.|__||__||__|%


-9 Refused |__|

B.32. What was the maturity (total duration) in months of this most recent line of credit or loan at the time

of disbursement?

1 Total duration |__||__||__|


-9 Refused |__|

B.33. Referring only to this most recent loan or line of credit, what was its value at the time of approval?

1 Size (in LCUs) |__|,|__||__||__|,|__||__||__|


-9 Refused |__|

B.34. Referring only to this most recent loan or line of credit, did the financing require collateral?

1 Yes

2 No (GO TO B.37)



B.35. Referring only to this most recent loan or line of credit, what type of collateral was required?

INTERVIEWER: READ OUT

Collateral Yes No Don’t know

(Spontaneous)

Refused

Land, buildings under ownership of the establishment 1 2 -8 -9

Machinery and equipment including movables 1 2 -8 -9

Accounts receivable and inventories 1 2 -8 -9

Personal assets of owner (house, etc.) 1 2 -8 -9

Other forms of collateral not included in the categories above 1 2 -8 -9

B.36. Referring only to this most recent line of credit or loan, what was the approximate value of the

collateral required?

1 Value of collateral (in LCUs) |__|,|__||__||__|,|__||__||__|


-9 Refused |__|

B.37. What is the total number of outstanding loans or open lines of credit held by this establishment?

1 Total number of loans outstanding loans |__||__||__| (IF ZERO, GO TO B.39)


16

-9 Refused |__|

B.38. What is the total value of outstanding loans or lines of credit held by this establishment?

1 Total value of loans outstanding (in LCUs) |__|,|__||__||__|,|__||__||__|


-9 Refused |__|

B.39. At this time, does the owner or owners of this establishment have any outstanding personal loans

that are used to finance this establishment’s business activities?

1 Yes

2 No


-9 Refused |__|

B.40. Referring again to the last fiscal year [insert last complete fiscal year], did this establishment

apply for any loans or lines of credit? [PLEASE NOTE WE ARE ONLY REFERRING TO FORMAL

SOURCES OF CREDIT, AND THIS DOES NOT INCLUDE MONEY LENDER. FAMILY/FRIENDS]

1 Yes (GO TO B.42)

2 No



B.41. What was the main reason why this establishment did not apply for any line of credit or loan?

SHOW CARD 21

1 No need for a loan - establishment had sufficient capital (GO TO B.43)

2 Application procedures were complex (GO TO B.43)

3 Interest rates were not favorable (GO TO B.43)

4 Collateral requirements were too high (GO TO B.43)

5 Size of loan and maturity were insufficient (GO TO B.43)

6 Did not think it would be approved (GO TO B.43)

7 Other (GO TO B.43)



B.42. Referring only to the most recent application for a line of credit or loan, what was the outcome of

that application?

1 Application was approved

2 Application was rejected

6 APPLICATION STILL IN PROCESS


-9 Refused |__|

17

INTERVIEWER READ THE FOLLOWING: Now I would like to ask you about ALL

APPLICATIONS for a line of credit or loan submitted in fiscal year [insert last complete fiscal

year]

B.43. How many applications for line or credit or loans were submitted in fiscal year [insert last

complete fiscal year]?

1 Applications submitted |__||__||__| (IF ZERO, GO TO B.46)



B.44. Of applications for line or credit or loans submitted in fiscal year [insert last complete fiscal year],

how many of those applications were rejected?

1 Applications rejected |__||__||__| (IF ZERO, GO TO B.46)


-9 Refused |__|

B.45. What was the most common reason given by the lender for those rejections applications for a line

of credit or loan? SHOW CARD 22

1 Collateral or co-signers unacceptable

2 Insufficient profitability

3 Problems with credit history or credit report

4 Incompleteness of loan application

5 Concerns about level of debt already incurred

6 Other objections


-9 Refused |__|

B.46. In fiscal year [insert last complete fiscal year], did this establishment’s level of debt increase,

decrease or remain the same?

1 Increase

2 Decrease

3 Remain the same

-7 Does not apply (spontaneous)


-9 Refused |__|

B.47. In the fiscal year [insert last complete fiscal year], did this establishment do the following …?

(INTERVIEWER: READ EACH CATEGORY)

Yes No Doesn’t apply

(Spontaneous)

Don’t know

(Spontaneous)

Refused

Did not pay its debts in time? 1 2 -7 -8 -9

Restructured its outstanding liabilities? 1 2 -7 -8 -9

18

Filed for insolvency or bankruptcy? 1 2 -7 -8 -9

Applied for state aid? 1 2 -7 -8 -9

B.48. Using the response options on the card; To what degree is Access to Finance an obstacle to the

current operations of this establishment? SHOW CARD 23

(SPONTANEOUS)

No

obstacle

Minor

obstacle

Moderate

obstacle

Major

obstacle

Very severe

obstacle

Doesn’t

apply

Don’t

know

Refused

Access

to

finance

0 1 2 3 4 -7 -8 -9

B.49. Please estimate the amount of external financing (other than retained earnings, earlier business

profits and personal savings) you will need in the next 12 months

$$$ Don’t know

(Spontaneous)

Refused

Working capital |__|,|__||__||__|,|__||__||__| -8 -9

Investment (new fixed assets) |__|,|__||__||__|,|__||__||__| -8 -9

Consumption purposes |__|,|__||__||__|,|__||__||__| -8 -9

Other (Specify) |__|,|__||__||__|,|__||__||__| -8 -9

B.50. Please rank from 1 to 8 the sources of external financing you would seek (in order of preference):

1 Money lender |__|

2 Non-bank credit institution |__|

3 Commercial bank |__|

4 Leasing company |__|

5 Family/friends |__|

6 Non-bank financial institutions (including microfinance institutions, credit cooperatives,

credit unions) |__|

7 Other non-bank financial institutions (angel funds, venture capital, etc.) |__|

8 Other sources (specify) |__|

B.51. Which of the listed products, would you need and use from a financial institutions?

Yes No Doesn’t apply

(Spontaneous)

Don’t know

(Spontaneous)

Refused

Deposits/Savings account 1 2 -7 -8 -9

Money Transfer 1 2 -7 -8 -9

Foreign Exchange 1 2 -7 -8 -9

Credit 1 2 -7 -8 -9

Insurance 1 2 -7 -8 -9

B.52. In your opinion, how likely is your company to apply for a new loan from a financial institution

19

within the next 12 months?

1 It will not apply

2 It is unlikely that it will apply

3 It is likely that it will apply

4 It will definitely apply |__|

B.53. If you do apply for a loan in the next 12 months, what amount will you most likely request?

1 Amount of loan (in LCUs) |__|,|__||__||__|,|__||__||__| (IF ZERO, GO TO C.1)

-8 Don’t know (spontaneous) (GO TO C.1)

-9 Refused (GO TO C.1) |__|

B.54. If you do apply for a loan in the next 12 months, what term will you most likely request?

1 Less than 3 months

2 3 months or more, but less than 1 year

3 1 year or more, but less than 3 years

4 3 years or more, but less than 5 years

5 5 years or more


-9 Refused |__|

B.55. If you are approved for a loan of the amount and term you indicated in the previous question B.53,

at the following annual interest rate, will you accept this loan?

Yes Likely Unlikely No

1 24% interest 1 (GO TO B.57) 2 (GO TO B.57) 3 4

2 What if the interest is 20%? 1 (GO TO B.57) 2 (GO TO B.57) 3 4



B.56. What would be the annual interest rate at which you would accept this loan?

1 Interest rate |__||__|%


-9 Refused |__|

B.57. If you do apply for a loan in the next 12 months, what is the maximum monthly payment that you

can afford to pay for the loan?

1 Amount (in LCUs) |__|,|__||__||__|,|__||__||__|


-9 Refused |__|

B.58. What banks or other institutions, would you prefer to apply for a loan from?

0 Don’t know any bank or institution

1 Bank 1

20

2 Bank 2

3 Bank 3

4 Bank 4

5 Bank 5

6 Microfinance Institution

7 Other (Specify) ______________________

-8 Don’t know which to prefer (Spontaneous)

-9 Refused |__|

C. NON-BANK FINANCE

C.1. Did you consider/research any of the following types of non-bank finance in the past fiscal year

[insert last complete fiscal year]? SELECT ALL THAT APPLY

READ OUT MULTI CODE

1 Government Financial Support |__|

2 Venture Capital Finance [INCLUDE DEFINITION] |__|

3 Business Angel or Investor Finance [INCLUDE DEFINITION] |__|

4 Loans/equity from Family or friends |__|

5 Loans/equity from business partners |__|

6 Other non-bank finance (specify) ________________ |__|

7 None (GO TO C.3) |__|

8 Other sources (specify) ________________ |__|

C.1.a Did you apply to any of the following types of non-bank finance in the past fiscal year [insert last

complete fiscal year]?

READ OUT MULTI CODE

1 Government Financial Support |__|

2 Venture Capital Finance |__|

3 Business Angel or Investor Finance |__|

4 Loans/equity from Family or friends |__|

5 Loans/equity from business partners |__|

6 Other non-bank finance (specify) ________________ |__|

7 None (GO TO C.3) |__|

8 Other sources (specify) ________________ |__|

C.2. Referring only to the most recent application for __________ (FROM C.1.), were you successful in

obtaining finance?

1 Yes

2 No

3 Partially

4 Still pending |__|

21

ASK ALL

C.3. Is the turnover of your business seasonal in nature? SINGLE CODE

1 Yes

2 No

-8 Don’t know

-9 Refused |__|

D. AWARENESS

D.1. Are you aware of the existence of government support programs for your business? SINGLE CODE

1 Yes

2 No |__|

D.1. What kind of government action would help your firm the most during this current economic

situation?

1 Lowering of taxes

2

3

4

5

-8

-9

Simplification of regulations

Government loans

Subsidies to keep employees on payroll

Other [Please specify]_____________

Don’t know

Refused

|__|

D.2. In your view, are banks currently lending to business like yours? SINGLE CODE

1 Yes, to a small number of SMEs (GO TO E.1)

2 Yes, to a large number of SMEs (GO TO E.1)

3 No

-8 Don’t know (GO TO E.1)

-9 Refused (GO TO E.1) |__|

INTERVIEWER: ASK IF RESPONDENT ANSWERED ‘3’ IN D.2.

D.3. And in your opinion, why do you think this is happening? READ OUT. SINGLE CODE

1 The experience of your business in the last 12 months of applying for credit and either

being rejected or being partially rejected

2 The experience of your business peers in the last 12 months of applying for credit and

either being rejected or being partially rejected

3 Media reports on SME lending in the last 12 months

4 Statements by business representative organizations in the last 12 months |__

|

INTERVIEWER: ASK IF RESPONDENT ANSWERED ‘3’ IN D.2.

22

D.4 Which of the following has influenced your views on banking’s lending practices to firms like yours

? READ OUT. SINGLE CODE

1 Your own experience with banks

2 The experience of your business peers with banks

3 Media reports on bank lending

4

5

Statements by business representative organizations in the last 12 months

Other [Please specify]_______________________

|__|

E. ELECTRONIC PAYMENTS AND MOBILE MONEY SERVICES

INTERVIEWER READ THE FOLLOWING:

Now I would like to ask you about this establishment’s use of mobile phone or internet to make

payments for business related transactions.

E.1. In its current operations, does this establishment use electronic payments services? [ELECTRONIC

PAYMENTS REFER TO FINANCIAL TRANSACTIONS SUCH AS DEPOSITS OR PAYMENTS

PERFORMED VIA THE INTERNET]

1 Yes

2 No

-8 Don’t know

-9 Refused (GO TO F.1) |__|

E.1. a In its current operations, does this establishment make transactions via a mobile phone ?

1 Yes

2 No (GO TO E.4)

-8 Don’t know (GO TO F.1)


INTERVIEWER: ASK IF RESPONDENT ANSWERED ‘1’ IN E.1.

E.2. Please indicate the main reason for starting to use electronic payments or mobile money services for

the financial transactions of this establishment. SHOW CARD 24

1 Reduce costs of financial transactions

2 Reduce the time spent in financial transactions

3 Reduce the risks in financial transactions

4 Satisfy suppliers’ request

5 Satisfy costumers’ request

6 Align with competitors’ use

-8 Don’t know

-9 Refused |__|

E.3. In fiscal year [insert last complete fiscal year], did this establishment use electronic payments or

mobile money services to?

Yes No Don’t know

(Spontaneous)

Refused

23

Pay its employees 1 2 -8 -9

Pay its suppliers 1 2 -8 -9

Pay the utility bills of the enterprise 1 2 -8 -9

Receive payments from customers 1 2 -8 -9

INTERVIEWER: ASK IF RESPONDENT ANSWERED ‘2’ IN E.1

E.4. Why does this establishment not use electronic payments services?


Yes No Don’t know

(Spontaneous)

Refused

Don’t know enough about electronic payments 1 2 -8 -9

Fee is too high 1 2 -8 -9

Most of this establishment’s payment are too large to use this

type of service

1 2 -8 -9

No easy to use 1 2 -8 -9

Do not trust this type of service 1 2 -8 -9

INTERVIEWER: ASK IF RESPONDENT ANSWERED ‘2’ IN E.1

E.4. a Why does this establishment not make transactions via mobile phone for its financial transactions?


Yes No Don’t know

(Spontaneous)

Refused

Don’t know enough about using mobile phones for financial

transactions

1 2 -8 -9

Fee is too high 1 2 -8 -9

Most of this establishment’s payment are too large to use

mobile services

1 2 -8 -9

No easy to use 1 2 -8 -9

Customers don’t use mobile services 1 2 -8 -9

Suppliers don’t use mobile services 1 2 -8 -9

Do not trust this type of service 1 2 -8 -9

F. FINANCIAL CAPABILITIES AND BUSINESS PRACTICES

INTERVIEWER READ THE FOLLOWING:

Now I would like to ask you about your business practices

F.0. Did you or any of your management employees participate in any programs/courses/classes to

develop business skills in the past fiscal year [insert last complete fiscal year]?

1 Yes

2 No

-8 Don’t know

-9 Refused |__|

24

F.0.a Do you or employees of your firm have access to any type of business skills development

training?

1 Yes

2 No (GO TO F.0.b)

-8 Don’t know

-9 Refused |__|

F.0.b Would you be interested in receiving any type of business skills development training?

1 Yes

2 No

-8 Don’t know

-9 Refused |__|

F.1. Does your business keep written financial records or accounts for your business?

1 Yes

2 No (GO TO F.3)



F.1. a How are these records done?

1 By hand

2 Internally Electronically (i.e. computer)

3

4

-8

By external accountant

Other [Please specify]________________

Don’t know (GO TO F.3)


INTERVIEWER, ASK IF RESPONDENT ANSWER YES IN F.1.

F.2. Does your business keep written financial records or accounts of? READ ALL

Yes No Don’t know

(Spontaneous)

Refused

Your business’ revenues? 1 2 -8 -9

Your business’ expenses? 1 2 -8 -9

Your business’ sales? 1 2 -8 -9

Your business’ inventory? 1 2 -8 -9

Your business’ accounts receivable? 1 2 -8 -9

Your business’ accounts payable? 1 2 -8 -9

F.3. Do you calculate your business' revenue in regular intervals?

1 Yes

2 No (GO TO F.6)



25

F.4. How often do you calculate your business' revenue?

1 Weekly

2 Monthly

3 Annually

4 Other (Specify) ______________

-8 Don’t know

-9 Refused |__|

F.5. How much was calculated in fiscal year [insert last complete fiscal year]?

1 Amount of loan (in LCUs) |__|,|__||__||__|,|__||__||__|


-9 Refused |__|

F.6. Do you calculate your business' profit in regular intervals?

1 Yes

2 No (GO TO F.9)



F.7. How often do you calculate your business' profit?

1 Weekly

2 Monthly

3 Annually

4 Other (Specify) ______________

-8 Don’t know

-9 Refused |__|




-9 Refused |__|

F.9. Do you calculate your business' production costs in regular intervals?

1 Yes

2 No (GO TO F.12)



F.10. How often do you calculate your business' production costs?

1 Weekly

2 Monthly

3 Annually

26

4 Other (Specify) ______________

-8 Don’t know

-9 Refused |__|




-9 Refused |__|

F.12. Do you calculate your business' inventory costs in regular intervals?

1 Yes

2 No (GO TO F.15)



F.13. How often do you calculate your business' inventory costs?

1 Weekly

2 Monthly

3 Annually

4 Other (Specify) ______________

-8 Don’t know

-9 Refused |__|




-9 Refused |__|

F.15. Do you calculate your business' operating costs in regular intervals?

1 Yes

2 No (GO TO F.18)



F.16. How often do you calculate your business' operating costs?

1 Weekly

2 Monthly

3 Annually

4 Other (Specify) ______________

-8 Don’t know

-9 Refused |__|

27




-9 Refused |__|

F.18. Which strategies, if any, do you use to make sure you can meet cash emergencies for your business?

1 No strategies

2 Offering discounts for cash payments/ Accelerated payments from credit customers

3 Increased sales through effective advertising

4 Selling off assets/inventory

5 Eliminating costs

6 Negotiating longer payment terms with suppliers

7 Taking advantage of early payment incentives

8 Leasing instead of buying

9 Adding new outside cash (e.g. loan, issuing of shares, etc.)

10 Other (specify) ______________ |__|

F.18. Imagine that you have an emergency and you need to pay [insert 1/20 of GNI per capita in local

currency]. How possible is it that you could come up with [insert 1/20 of GNI per capita in local

currency] within the NEXT MONTH? Very possible, somewhat possible, not very possible, or not at all

possible?

1 Very possible

2 Somewhat possible

3 Not very possible

4 Not at all possible


-9 Refused |__|

F.19. How long do you think ahead when you plan your business cash flows

1 A week or less

2 A month or less

3 Between 1 and 6 months

4 Between 6 and 12 months (A year)

5 Between 1 year and 2 years

6 More than 2 years ahead |__|

F.20. Does this business have financial statements including balance sheets, income or cash flow

statements?

1 Yes

28

2 No (GO TO F.23)



F.21. Which type of financial statements does this business have?

1 Balance sheets

2 Income statement

3 Cash flow statement

4 Other (specify) |__|

F.22. In fiscal year [insert last complete fiscal year], did this establishment have its annual financial

statements checked and certified by an external auditor?

1 Yes

2 No


-9 Refused |__|

F.23. Does this business have a written business plan?

1 Yes

2 No

-8 Don’t know

-9 Refused |__|

F.24. How much do you agree or disagree with the following statements? 1. Strongly agree, 2. Agree, 3.

Disagree, 4. Strongly disagree.

Strongly

agree

Agree Disagree Strongly

disagree

"I am very disciplined when it comes to managing

business finances"

1 2 3 4

"I learn from mistakes other people make managing their

business finances"

1 2 3 4

"I live more for the present than for tomorrow" 1 2 3 4

"I do things without giving them too much thought" 1 2 3 4

"It is possible to succeed in business" 1 2 3 4

"Saving money each month will help me to reach my

business objectives"

1 2 3 4

"Women can run businesses as well as men" 1 2 3 4

"Women make better financial decisions" 1 2 3 4

"It is easier for female than for male entrepreneurs to

receive a business loan or line of credit"

1 2 3 4

"I have little control over what will happen to me in my

life"

1 2 3 4

"Good things tend to happen to other people, not to me or

my family”

1 2 3 4

29

F.25. On a scale 1 - 10, how comfortable do you feel with financial terms?

1 Scale from 1-10 |__|

-8 Don’t know

-9 Refused |__|

F.26. On a scale 1 - 10, how comfortable do you feel with banking requirements and processes?

1 Scale from 1-10 |__|

-8 Don’t know

-9 Refused |__|

F.27. When it comes to [managing money], which of the following statements best describes you?

person?

1

2

3

I know more about managing money than most people (or business peers) I know

I know the same as everyone else (or business peers) about managing money

I know less about managing money than most people (or business peers) I know

-8 Don’t know

-9 Refused |__|

F.27. a From where did you learn the most about managing money??

1

2

3

4

5

From my family

From the experience of working in a business

From my co-worker or manager

From classes or courses

Other [Please specify]

-8 Don’t know

-9 Refused |__|

F.28. There are many words used in Georgia that apply to financial services. Have you ever heard of the

following words?

Yes No

a Inflation 1 2

b Insurance 1 2

c Interest 1 2

d Exchange rate 1 2

e Shares 1 2

INTERVIEWER: ASK THIS QUESTION IF RESPONDENT ANSWERED YES IN F.28a

F.29. Do you know what inflation means?

1 Yes

2 No |__|

INTERVIEWER: ASK THIS QUESTION IF RESPONDENT ANSWERED YES IN F.28b

F.30. Do you know what insurance means?

1 Yes

2 No |__|

30

INTERVIEWER: ASK THIS QUESTION IF RESPONDENT ANSWERED YES IN F.28c

F.31. Do you know what interest means?

1 Yes

2 No |__|

INTERVIEWER: ASK THIS QUESTION IF RESPONDENT ANSWERED YES IN F.28d

F.32. Do you know what exchange rate means?

1 Yes

2 No |__|

INTERVIEWER: ASK THIS QUESTION IF RESPONDENT ANSWERED YES IN F.28e

F.33. Do you know what shares mean?

1 Yes

2 No |__|

F.34. If you have a choice to invest 1,000 $$$ with one of three friends with whom would you invest?

Note, there is a possibility your investment will fail and you would lose your invested money

1 Friend with an investment with highest return in the past month

2 Friend with an investment with the highest return in the previous year

3 Friend with investment with low return and low risk

4 Invest a portion with all of them |__|

F.35. Suppose you owe 1,000 $$$ on a loan from Partner and the interest rate you are charged is 20% per

year compounded annually. Compounding means that interest for the year is calculated at the end of each

year based on the total outstanding amount, inclusive of principal and interest. If you didn’t pay anything

off, at this interest rate, how many years would it take for the amount you owe to double?

1 2 years

2 More than 2 but less than 2 years

3 5 - 10 years

4 More than 10 years |__|

F.36. Suppose you owe 3,000 $$$ on a loan from Partner. You pay a minimum payment of 30 $$$ each

month. At an Annual Percentage Rate of 12% (or 1% per month), how many years would it take to

eliminate your debt if you made no additional new charges?

1 Less than 5 years

2 More than 5 but less 10 years

3 Between 10 and 15 years

4 Never, you will continue to be in debt |__|

F.37. In difficult times businesses sometimes seek to temporarily lower prices in hope of attracting new

customers. They plan to increase prices at a later day when market conditions improve. If price of a

product is 100 $$$ and is lowered by 30% how many percent does the product price have to be increased

by to return to the original 100 $$$ price.

31

1 By 30%

2 Less than 30%

3 More than 30% |__|

F.38. Suppose you are a farmer facing unpredictable market conditions where prices are fluctuating. In

order to best protect your income stream, you should:

1 Specialize in one crop

2 Grow multiple crops for which historically prices have moved in the same direction

3 Grow multiple crops for which historically prices have moved in different directions |__|

F.39. Suppose you operate a farm and are interested in purchasing a crop processing machine. The

machine costs 1,000 $$$. You do not have the resources to pay for the machine in cash so the seller offers

you two financing options: a) Pay 12 fixed monthly installments of 100 $$$ each; b) Borrow $1,000 $$$

from the seller for a 12 month loan at a 15% annual interest rate.

1 Option (a)

2 Option (b)

3 They are the same |__|

F.40. Which of the following statements best describes the primary purpose of insurance products?

1 To accumulate savings

2 To protect against risks

3 To make payments or send money

4 Other (specify) ________________________ |__|

QUESTIONNAIRE -- ENTERPRISE ACCESS TO FINANCE...

Documents

Transcript of QUESTIONNAIRE -- ENTERPRISE ACCESS TO FINANCE...