The Impact of External Constraints on Access to Finance and the Growth of Innovative Startups in Morocco: A Mixed-Methods Empirical Study (Revue Française d'Economie et de Gestion)

Summary

• The study investigates external financing constraints across a population of 478 identified innovative startups in Morocco, analyzing a representative sample of 220 startups.p.12
• Startups are geographically concentrated in Morocco, with Casablanca accounting for 62.30% and Rabat for 13.89% of the surveyed distribution.p.12
• The sample spans five main activity sectors led by information technology with 96 startups, retail and e-commerce with 70, and education with 40 startups.p.13
• Credit bureau coverage constraints showed no statistically significant correlation with access to finance (r = 0.060, p = 0.380).p.16

Key insights

1. Access to finance strongly correlates with innovative startup growth in Morocco (r = 0.953, p < 0.001).p.17
2. Public financing constraints have the strongest positive association with financing difficulties (r = 0.843, p < 0.001).p.16
3. Lack of awareness of financing mechanisms strongly drives financing difficulties among entrepreneurs (r = 0.822, p < 0.001).p.16
4. Firm size negatively impacts financing difficulties (B = −0.121, p < 0.001), indicating larger startups secure external financing more easily.p.17
5. Operating in lower-risk activity sectors significantly reduces difficulties in accessing startup capital (B = −0.027, p = 0.016).p.17
6. The regression model explains a substantial share of variations in financing access, achieving an adjusted R² of 0.967.p.17
7. Limited credit bureau coverage does not emerge as a significant determinant of access to finance for Moroccan startups (p = 0.380).p.16
8. Restrictive tax regulations indirectly impact startup growth via access to finance with a VAF of 76%.p.18