Role Of Small Businesses In Poverty Reduction In Developing Countries: Evidence From Ondo State,Nigeria

There is no consensus on the effects of small businesses development on poverty reduction. While some showed positive evidence, others have shown weak relationship.Those that showed negative or weak relationship did not indicate the factors responsible for this.Most of the existing studies have also neglected individual traits of firms and countries.Therefore, the objective of this study is to identify the individual traits of firms and examine their relative contributions to poverty reduction with a view to assessing the role of small businesses development to job creation and income generation in Ondo State, Nigeria-a developing country in Africa.Primary data was used for this study.A questionnaire was used to captured the relevant data from business owners of the selected area. A stratified random sample technique was used in selecting the respondents. Descriptive statistics and econometric statistics were applied in the study.There was sufficient evidence to show that various forms of businesses identified(Micro enterprises,small businesses and medium enterprises) have played role in reducing poverty through employment creation and income generation