Research proposal Example | Topics and Well Written Essays - 3750 words

Research Proposal Example cy makers to launch programs on financial support under the administrative powers of Saudi Industrial Development Fund so that loan guarantees are offered to the Saudi banks to engage in feasible lending to the SMEs. The initiatives for providing financial support to the SMEs in Saudi economy have been presented as follows. The small and medium enterprises are such organizations that are comparatively smaller in size and whose employee strength falls below a certain number as designated by the authorities. The categorization of small and medium enterprises have been decided by the authorities like the World Bank, World trade Organization, etc. In the Kingdom of Saudi Arabia, the small and medium enterprises are categorized according to specified criteria designed by the Saudi Industrial Development Fund (Burke and Jarratt, 2004, p.126). The enterprises that earn revenues less than Rls 20 million on an annual basis could be termed as small and medium enterprises in the Kingdom of Saudi Arabia. In order to standardize the criteria for classifying entities as small and medium enterprises, the World Bank has taken responses from the commercial banks in order to remove the differences in classification criteria in several countries. The standardized range that is followed for classifying entities in the cat egory of small enterprises is that the annual sales of the entity should fall with the bracket of Rls 1 lac to Rls 5 million with employee strength of 2 to 49 people. The entities that have annual revenue earnings of Rls 5 million to Rls 50 million and employee strength of 50 to 200 people fall in the category of medium enterprises (Achoui, 2009, p.36). The small and medium enterprises play an important role in the context to economic development. The small and medium enterprises are large in numbers as compared to the large business houses. Although the number of employees employed by the small and medium enterprises is low, the cumulative employment offered by the