A study into challenges and sustenance of small scale contractors in Ghana. (A case study of Tamale Metropolis)

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Construction sector industry plays very enormous function in the economy and its role is so crucial for the attainment of economic, social and infrastructural facilities such as shelter and employment for the teaming youth both educated and uneducated. However, the industry is bedeviled with a lot of challenges especially new entrants and small scale contractors who desires to grow their businesses in the industry. Many small scale contractors encounter a lot of challenges to sustain and grow their businesses, capacity is thus needed in managing the business of construction. The aim of this research is to examine main challenges and constraints facing small-scale contractors with regards to training needs, identify areas it needed, and appropriate methods of operations for small scale contractors in areas of construction business management. Literature reviewed on the subject indicated that the small-scale contractor’s business management is a topical one for both clients and contractors especially in developing economies. The methodology adopted was quantitative, questionnaire was distributed to 35 respondents who were small-scale contractors with D3K3 classification as well as their staff in the Tamale Metropolis and the data collected was analyzed by using Statistical Package for Social Sciences (SPSS) to obtain the challenges and needs thus rank factors. It was concluded that Lack of knowledge in Cash flow, accounting operations and technical challenge factors was the main challenges. Whiles business environment factors ranked contracts not won on merit first. Again, absence of Cash flow management System in place was ranked first in financial management difficulties for small-scale contractors. The recommendations made were that, tendering activities should be done by trained professionals, periodic training for the small scale contractor was also found to be necessary.
A dissertation submitted to the Department of Building Technology, College of Art and Built Environment, in partial fulfillment of the requirement for the degree of Master of Science.