Financial Expert Charges Informal Sector Operators on Records Keeping, Planning

James Sowole in Abeokuta

A Professor of Business Finance at Olabisi Obabanjo University (OOU), Ago-Iwoye, Ogun State, Professor Adebiyi Abosede, has identified keeping of operational records as one of the things that would enable operators in the informal sectors to gain the confidence of their creditors.

Abosede said that gaining creditor’s confidence is an essential factor for business operators in order to get required finance to expand their businesses.

He gavethis prescription when he delivered the 108th OOU Inaugural Lectureat the Otunba Gbenga Daniel Multipurpose Hall in the university’s main campus, Ago-Iwoye.

 The lecture, which was  entitled “Managing Enterprises: Trends, Travails and Takeaways,” was presided over by the university’s Vice Chancellor, Professor Ayodeji Agboola, and attended by principals officers of the institution,  members of University Senate, senior academic staff and other stakeholders.

Abosede said: “Operators of the informal sector must learn how to keep simple records of their operations, such as cash flow records, inventory records of their wares, and records of their assets being used for the business.

“This way, they will have something to show and assure the creditors that they are not risky clients.”

The professor of Business Finance, who had served the OOU in diverse ways, also stated that operators of informal sector must need to undertake capacity building, so that they could integrate strategic management into their activities via a planned strategy.

He said that it was obvious that they could not go through the whole hug of strategic management, but they should be able to apply SWOT analysis to what they do.

 By doing this, the don said that operators in the informal sector would understand that profit making is not instantaneous but rather a gradual process in response to the environment.

He advised operators to form and belong to cooperative societies to enjoy easier access to credit, buying of inputs and marketing of outputs.

He said: “When cooperative societies are formed, members will have a lot to benefit from pooled financial and other resources which have the potential to reduce the cost of funds and efficiently manage operating costs.

“The beauty of cooperative society is that it solves two problems almost at once, economic and social problems.

 “Where the services of microfinance bank are being utilised, group borrowing can be employed so that interest rates can be negotiated. This will also assure the microfinance banks of the safety of their lending.”

The professor also advocated that the government should develop better intervention programmes and facilitate proper linkage between the informal sector and the formal sector for a sustainable economy.

He suggested that proper funds can be created for the informal sector to address capacity building, value chain development, and the development of the sector.

Abosede charged the government to provide enabling environment for the Micro Small and Medium Enterprises (MSMEs) in view of the impact in the economy particularly in employment generation.

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Okowa Clarifies Bridge Incident  on Asaba-Ughelli Road

Omon-Julius Onabu in Asaba

The Delta State Governor, Dr. Ifeanyi Okowa, yesterday debunked media reports that a bridge collapse near Kwale on the Asaba-Ughelli federal road that is currently under reconstruction by the state government.

Okowa stated this during an unscheduled inspection of the Obo River on the Ogwashi-Uku/Kwale portion of the road that the report was incorrect as actual commencement of construction work on the bridge was yet to start.

He pointed out that the road, which is being reconstructed into a dual-carriage way, caved in at a small spot by the river on Monday but was quickly fixed.

The challenge faced by road users occurred when a traffic diversion created for the construction of a bridge on the road “overwhelmed the temporary channel, causing it to erode the soil and culverts underneath,” he explained.

The governor emphasised that the incident at Obo River was not a collapsed bridge but rather a collapsed road. “It’s not the bridge itself because the bridge is just about being constructed,” he said.

Okowa said: “What happened was that with the diversion of the Obo River, coupled with a lot of rains, the swell-up of the rain caused the collapse of the road.

“We were told that the workers worked up to 1:30 a.m. to get the road back. And, you saw on site that they are trying to do another diversion to enable them start the bridge itself. So, work is ongoing there.”

The governor was also at the Kwale-Beneku Bridge, where he expressed dismay at the slow pace of work, charging the contractor to speed up work on the project.

“We did inspect the Kwale-Benekuku Bridge; I believe they are slow. We were told that they have some issues, which happily they have resolved. But even when they were slow, you can see that there is still some progress.

“It is supposed to be an 18-span bridge of 20 meters each that is 360 meters of bridge. They are already about completing the 10th one and the deck itself.

“I hope that as we were told, in another two months they would be able to complete rest of it. I wished that the speed of work should have been faster than this because on this particular project, the state government is constantly on course in the payment for job done,” Okowa said.

Nevertheless, the governor, who also inspected the ‘Sector A’ of the Ughelli-Asaba Road dualisation, commended the new contractor for the steady progress on the project, saying that has vindicated the decision of government to repudiate the previous contract and engage the new,  Levant Nigeria Limited.

He noted that “initially, we met the previous company working on it, but after a few years, we realised that they were not just good enough, and we had to negotiate them out of the contract.”

The State Commissioner for Works, Mr. Noel Omordon, had on Tuesday assured travelers on the Ughelli-Asaba Road of free flow of traffic on the failed portion of the road at Obo River by Wednesday, May 17, 2023.Omordon gave the assurance when he visited the failed portion on Tuesday to assess the extent of remediation work.

Financial Expert Charges Informal Sector Operators on Records Keeping, Planning

James Sowole in Abeokuta

A Professor of Business Finance at Olabisi Obabanjo University (OOU), Ago-Iwoye, Ogun State, Professor Adebiyi Abosede, has identified keeping of operational records as one of the things that would enable operators in the informal sectors to gain the confidence of their creditors.

Abosede said that gaining creditor’s confidence is an essential factor for business operators in order to get required finance to expand their businesses.

He gavethis prescription when he delivered the 108th OOU Inaugural Lectureat the Otunba Gbenga Daniel Multipurpose Hall in the university’s main campus, Ago-Iwoye.

 The lecture, which was  entitled “Managing Enterprises: Trends, Travails and Takeaways,” was presided over by the university’s Vice Chancellor, Professor Ayodeji Agboola, and attended by principals officers of the institution,  members of University Senate, senior academic staff and other stakeholders.

Abosede said: “Operators of the informal sector must learn how to keep simple records of their operations, such as cash flow records, inventory records of their wares, and records of their assets being used for the business.

“This way, they will have something to show and assure the creditors that they are not risky clients.”

The professor of Business Finance, who had served the OOU in diverse ways, also stated that operators of informal sector must need to undertake capacity building, so that they could integrate strategic management into their activities via a planned strategy.

He said that it was obvious that they could not go through the whole hug of strategic management, but they should be able to apply SWOT analysis to what they do.

 By doing this, the don said that operators in the informal sector would understand that profit making is not instantaneous but rather a gradual process in response to the environment.

He advised operators to form and belong to cooperative societies to enjoy easier access to credit, buying of inputs and marketing of outputs.

He said: “When cooperative societies are formed, members will have a lot to benefit from pooled financial and other resources which have the potential to reduce the cost of funds and efficiently manage operating costs.

“The beauty of cooperative society is that it solves two problems almost at once, economic and social problems.

 “Where the services of microfinance bank are being utilised, group borrowing can be employed so that interest rates can be negotiated. This will also assure the microfinance banks of the safety of their lending.”

The professor also advocated that the government should develop better intervention programmes and facilitate proper linkage between the informal sector and the formal sector for a sustainable economy.

He suggested that proper funds can be created for the informal sector to address capacity building, value chain development, and the development of the sector.

Abosede charged the government to provide enabling environment for the Micro Small and Medium Enterprises (MSMEs) in view of the impact in the economy particularly in employment generation.

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Okowa Clarifies Bridge Incident  on Asaba-Ughelli Road

Omon-Julius Onabu in Asaba

The Delta State Governor, Dr. Ifeanyi Okowa, yesterday debunked media reports that a bridge collapse near Kwale on the Asaba-Ughelli federal road that is currently under reconstruction by the state government.

Okowa stated this during an unscheduled inspection of the Obo River on the Ogwashi-Uku/Kwale portion of the road that the report was incorrect as actual commencement of construction work on the bridge was yet to start.

He pointed out that the road, which is being reconstructed into a dual-carriage way, caved in at a small spot by the river on Monday but was quickly fixed.

The challenge faced by road users occurred when a traffic diversion created for the construction of a bridge on the road “overwhelmed the temporary channel, causing it to erode the soil and culverts underneath,” he explained.

The governor emphasised that the incident at Obo River was not a collapsed bridge but rather a collapsed road. “It’s not the bridge itself because the bridge is just about being constructed,” he said.

Okowa said: “What happened was that with the diversion of the Obo River, coupled with a lot of rains, the swell-up of the rain caused the collapse of the road.

“We were told that the workers worked up to 1:30 a.m. to get the road back. And, you saw on site that they are trying to do another diversion to enable them start the bridge itself. So, work is ongoing there.”

The governor was also at the Kwale-Beneku Bridge, where he expressed dismay at the slow pace of work, charging the contractor to speed up work on the project.

“We did inspect the Kwale-Benekuku Bridge; I believe they are slow. We were told that they have some issues, which happily they have resolved. But even when they were slow, you can see that there is still some progress.

“It is supposed to be an 18-span bridge of 20 meters each that is 360 meters of bridge. They are already about completing the 10th one and the deck itself.

“I hope that as we were told, in another two months they would be able to complete rest of it. I wished that the speed of work should have been faster than this because on this particular project, the state government is constantly on course in the payment for job done,” Okowa said.

Nevertheless, the governor, who also inspected the ‘Sector A’ of the Ughelli-Asaba Road dualisation, commended the new contractor for the steady progress on the project, saying that has vindicated the decision of government to repudiate the previous contract and engage the new,  Levant Nigeria Limited.

He noted that “initially, we met the previous company working on it, but after a few years, we realised that they were not just good enough, and we had to negotiate them out of the contract.”

The State Commissioner for Works, Mr. Noel Omordon, had on Tuesday assured travelers on the Ughelli-Asaba Road of free flow of traffic on the failed portion of the road at Obo River by Wednesday, May 17, 2023.Omordon gave the assurance when he visited the failed portion on Tuesday to assess the extent of remediation work.