Small and Medium Enterprises business sustainability challenges and rejoinders: A case of selected districts in Zambia

The study examined business sustainability and the challenges facing Small and Medium Enterprises (SMEs) in selected districts in Zambia. The study adopted a mixed methods approach and primary data was collected using a Survey Questionnaire and Focus Group Discussions. Major findings of the study were that although there is adequate legal and policy framework for the promotion of the SME sector in Zambia, SMEs face serious challenges such as the lack of capital, entrepreneurial competencies, financial record keeping, too many competitors and high transport charges to reach markets. The study identified a broad-based theory in the form of a holistic framework for managing SME. It also established that dysfunctional District Business Associations and a weak and fragmented coordination between government agencies responsible for the implementation of the legal and policy frameworks and measures meant to develop the SMEs, have created a business environment where SMEs are not sustainable. The study recommends that Government should consider establishing an SME Bank to support the SME sector to ensure that SMEs have easy access to loans or funding for them to remain competitive