It is a well-known fact that for every economy to thrive, much emphasis needs to be placed on the existing profile of small scale businesses and the funding of the already existing ones. Aside its importance to the economy, it is a sound way of reducing unemployment in Nigeria. Every big business starts as a small business, and it started with an entrepreneur (small business), who at first, earns little or no profit. It was the new ideas of small scale business that brought most big business empires that create multiple jobs for our teeming youths today in Nigeria. Untried ideas become annulations that become concepts that changed the business world. Small scale business is the basis for the economic back bone of many developed nations. Entrepreneurship is simply what makes a small scale business grow. Entrepreneurship occurs when an individual develops a new venture, a new approach to an old business or idea, or a unique way of giving the market place a product or service by using resources in a new way under conditions of risk. Small scale business triumphs and entrepreneurship are closely related to it. It is difficult to separate them.

The unemployment situation in the country coupled with the new government instinctive towards easing social tensions among unemployed youths, through the programmed of the National Directorate of Employment (NDE), were intended to lure a lot of unemployed Nigerians, including graduates into self-determination through self-employment. Graduates and school leavers are now realizing that government and the established private companies are not ready to come to their aid directly, through paid employment due to the dividing state of the economy. Government has been playing appreciative role in promoting the survival and growth of small-scale enterprise in recognition of them flexible and adaptive nature as well as their re-generative power in promoting economic growth and development. Government also encourages people to establish their own small scale businesses so as to reduce the problem of unemployment in the country and also reduce the problem of importation of goods, more so, to encourage exportation. Government in believing that a dynamic and growing small manufacturing sub-sector can contribute significantly to the implementation of a wide range development effectives, has thus enunciated various policies to encourage their proliferation and make them veritable engines of growth and development.

In Nigeria, despite the support and incentive programmes to small scale business, Akabueze, (2012) succinctly stated that it would seem reasonable to expect that small businesses would grow and flourish, but the rate of business failure continues to increase because of the obstacles affecting business performance which include: lack of financial resources, lack of management experience, poor location, laws and regulations, general economic conditions, as well as critical factors such as poor infrastructure, corruption, low demand for products and services, and poverty. Others include: shortage of raw materials, handicap in obtaining finance, inadequate competent personnel, inability to control costs and problems of dumping of cheap foreign products and others. Despite the Inherent problems associated with the growth of Small- scale businesses, women entrepreneurs are increasingly venturing into ownership of small -scale enterprises either on their own or in partnership with male entrepreneurs (ILO, 2015).

This has been made possible primarily because of ease of entry, limited access to other enterprises and lack of employment opportunities in formal sector of the economy. Also, given the growth of entrepreneurship among women, understanding the social and economic factors influencing their success performance is of critical importance. Hence the need for this study which intends to fill this gap .To fill this gap, this study aims to provide holistic view through empirical study on the factors affecting performance in small scale business in Lagos state, Nigeria using gendered based analysis. The general objective of the study is to examine and explain the factors influencing performance among small –scale enterprises in informal economy. The majorobjectives of this study are: To present a descriptive profile of small scale business operators in barrage area of Lagos metropolitan.


The small scale business is recognized as an integral component of economic development and a crucial element in the effort to lift countries out of poverty (Wolfenson, 2011). Small- Scale businesses are driving force for economic growth, job creation, and poverty reduction in developing countries. They have been the means through which accelerated economic growth and rapid industrialization have been achieved (Harris et al, 2016; Sauser, 2015). Furthermore small scale business has been recognised as a feeder service to large- scale industries (Fabayo, 2015).While the contributions of small businesses to development are generally acknowledged, entrepreneurs in this sector face many obstacles that limit their longterm survival and development. Scholars have indicated that starting a business is a risky venture and warn that the chances of small-business owners making it past the five-year mark are very slim (ILO, 2015). Some researches into small-business development have also shown that the rate of failure of small scale businesses in developing countries is higher than in the developed world (Marlow, 2015).

No organization, no matter its size can survive without an effective managerial and functional business profile with a good organization, therefore, there is need for sound and qualified man and women to operate in every organization especially small scale business; and also there should be capable hands to manage the financial affairs in order to ensure a sound system of operation in the enterprise.This and many more have posed some challenges to the context that led to the study, profile of employees of small scale business in barrage area of Lagos metropolitan.


i) To present a descriptive profile of small scale business in barrage area of Lagos metropolitan.

ii) To determine the factors influencing the performance of employees profile in small scale business enterprises in Lagos state.

iii) To determine greatest obstacles and challenges for the operators of small businesses in Lagos state.

iv) To make recommendations and intervention measures that can help in improving the employees profile in small scale business.


Ho: There is no significant relationship between small scale business and employee’s profile.

H1: There is a significant relationship between small scale business and employee’s profile.

Ho: Business organization and managerial efficiency has no impact on improving employee’s profile in small scale business.

H2: Business organization and managerial efficiency has an impact on improving employee’s profile in small scale business.


The essence of this project cannot be over emphasized because it will help Small Scale business owners understand how effective management is the yardstick and bedrock of every organization, thereby, enhances the achievement of organizational objectives. Furthermore, it will guide and give a sense of direction to the entire organization in the area of channeling resources and enhancing productivity and also giving status to the organization. It will also help in boosting employees profile to meet up with the global standard of working in a small scale business facility.To students in every higher institution of learning, providing them with some vital information concerning strategies for small scale business survival. Also, it will provide basis for which further research could be conducted. Finally, it is believed that this research study will be of great use to general public by expanding their knowledge on small scale business and employees profile.


The scope of this study centers on the profile of employees of small scale business in Lagos metropolitans, focusing mainly on barrage area of Lagos metropolis. The researcher encountered some constraint in the course of the study which include:

Time factor: The time allocated to the researcher during the period of the study was limited coupled with lectures and exams.

Financial constraint: the finance at the disposal of the researcher during the course of the study wasn’t sufficient enough to run the expenses of the research work.

RESEARCH MATERIALS: It was not easy to source for the adequate material to be used to carry out this research. The researcher found it difficult to collect certain information from the management staff of the organization and it was quite uneasy to educate the respondents on the best ways of filling thequestionnaire.


Business: This is a person’s regular occupation, profession, or trade.

Small Scale Enterprise: This is a business that employs a small number of workers and does not have a high volume of sales. Such enterprises are generally privately owned and operated sole proprietorships, corporations or partnerships.

Lagos state: Lagos, sometimes referred to as Lagos State to distinguish it from Lagos Metropolitan Area, is a state located in the southwestern geopolitical zone of Nigeria. The smallest in area of Nigeria’s 36 states, Lagos State is arguably the most economically important state of the country, containing Lagos, the nation’s largest urban area. It is a major financial center and would be the fifth largest economy in Africa, if it were a country.

Profile: a brief description of the characteristics of something or someone.

Employee: An individual who works part-time or full-time under a contract of employment, whether oral or written, express or implied, and has recognized rights and duties. Also called worker.


This research work is organized in five chapters, for easy understanding, as follows Chapter one is concern with the introduction, which consist of the (overview, of the study), statement of problem, objectives of the study, research question, significance or the study, research methodology, definition of terms and historical background of the study. Chapter two highlight the theoretical framework on which the study is based, thus the review of related literature. Chapter three deals on the research design and methodology adopted in the study. Chapter four concentrate on the data collection and analysis and presentation of finding. Chapter five gives summary, conclusion, and recommendations made of the study.