This paper aims to develop a critical approach to the conceptualization of start-ups in emerging markets from a Kenyan perspective. This study used a theoretical route to conceptualize start-ups in emerging markets like Kenya. From the findings, it is important to note that the conceptualization of start-up is based on western concepts and might be flawed and poorly applicable to businesses in Kenya. Hence in the Kenyan context, a start-up should be viewed as an innovative business entity, which is scalable and has survived up to 3-5 years. To support the growth of the start-up ecosystem in Kenya, policymakers should promote start-ups through the formation of relevant legislation and provide incentives that stimulate their survival and growth. The study has brought out some interesting findings which can generate more debate. The study used an exploratory research design which is not conclusive in nature therefore future research should consider using a research design that is conclusive in nature and robust.

The study aimed at investigating the effect of seed capital on performance of micro, small and medium enterprises by reviewing related extant conceptual, theoretical and extant empirical literature. The study underpinning theories were; resource-based view, pecking order theory and theory of asymmetric information. The study employed literature review methodology. Based on the review of empirical research, it was concluded that seed capital contributes into developing a particular financing environment; where MSMEs can obtain angel capital from angel investors as well as equity capital from shareholders and crowdfunding, at the seed stage. More so, seed capital has an effect on performance of MSMEs supporting studies that found a positive effect. The seed capital, MSME uses to start a business, commonly comes from angel investors, owners’ equity and crowdfunding. The paper recommends that MSMEs; first, need to obtain financing, obtain shared expertise and technical expertise from angel investors, should guarantee complete control through use of equity capital to preserve control and independence as they provide for reinvesting part of their profits.

MSMEs are considered the backbone of the Kenyan economy. However, they are considered too risk by financial institutions. With the emergence and growth of Fintech in the country Fintech is becoming more attractive to MSMEs as a source of credit, this is causing panic among the financial institutions. The purpose of this study was to analyze the effect of Fintech boom on mitigating of the Financial Gap among MSMEs in Kenya. The study was anchored on Constraint-Induced Financial Innovation Theory, Diffusion of Innovations Theory, and Traditional Theory of Financial Innovation. A desktop analysis of existing literature on Fintech studies was used and from the analysis it was established that existing financial institutions deny MSMEs financial support as they are considered too risky. However, with the Fintech boom in Kenya the landscape is changing hence significantly narrowing the financial gap for MSMEs. Moreover, the findings indicates that the percentage of underserved MSMEs has reduced as many continued to expand their operation using funding from Fintech. It’s also observed that the rise of Fintech start-ups has helped reduce the cost of credit in the local market.

Micro, small, and medium-sized enterprises are regarded as a crucial component of economic growth, therefore, they are acknowledged as essential generators of productivity, employment, and innovation. Although MSMEs have received a lot of attention recently, many of them fail to live long to celebrate their first birthday while others stagnate in growth. This could be attributed to many factors key among them lack of finances due to lack of collaterals and high interest rate. The Kenyan Government in December 2022 launched MSMEs fund commonly known as ‘Hustler fund’ which is a disruptive financial innovation model that is changing the financial and scape in in Kenya. However, scanty research has been done on the implication of financial innovation in Kenyan context. The purpose of this study was to investigate the effect of Hustler fund on the Kenyan financial sector. The study was grounded on the following theories: resource-based theory, constraint-induced financial theory, financial inclusion theory, and disruptive innovation theory. Exploratory research design was used and data was collected through literature analysis of the available documents. The study found out that hustler fund is a disruptive innovation model in the financial sector due to its low interest rate, lack of requirement of clearance from Credit reference bureau and absence of threats. Hence the other players in the financial sector in order to remain competitive and relevant they should develop strategies aimed at financial deepening by making loans affordable to most Kenyans and with improved ease of access.