FinTech-Led Cash Flow Management and SME Growth in Kitui County, Kenya

Mutisya Muema Utoto; Gilbert Nyaga Njagi; Tom Mokweri Nyamache

doi:10.51317/ecjbms.v8i1.722

Authors

Mutisya Muema Utoto Mount Kenya University, Kenya https://orcid.org/0009-0005-5425-7770
Gilbert Nyaga Njagi Mount Kenya University, Kenya https://orcid.org/0009-0002-2960-0950
Tom Mokweri Nyamache Turkana University College, Kenya https://orcid.org/0009-0007-9255-0737

Keywords:

Cash flow management, cash flow visibility, FinTech, liquidity, real-time transaction tracking

Abstract

This study explored the role of FinTech-enabled cash flow management in SME growth in Kitui County, Kenya, with an emphasis on access to liquidity, cash flow transparency, and real-time transaction monitoring. Guided by the Technology Acceptance Model (TAM), Diffusion of Innovation (DOI) Theory, and Institutional Theory, it employed a quantitative correlational research design. Using a stratified random sampling procedure, data were gathered from 344 SME owners through structured questionnaires. It was analysed using descriptive statistics, correlation, ANOVA, and multiple regression in IBM SPSS Version 27. Results indicated that liquidity for SMEs (? = 0.497), cash flow visibility (? = 0.428), and real-time transaction tracking (? = 0.409) had positive and significant effects on SME sales margins (p < 0.001). The study recommends enhancing digital infrastructure, financial literacy, and affordable FinTech solutions for SMEs. Overall, the findings contribute to the growing body of knowledge on FinTech adoption and SME development, and provide evidence to guide policymakers, financial service providers, and SME support agencies in designing interventions to enhance business growth and financial sustainability in Kenya.