EFFECT OF MICROFINANCE BANK LOAN SCHEME ON THE ENTREPRENEURSHIP DEVELOPMENT IN NASARAWA LGA OF NASARAWA STATE

EFFECT OF MICROFINANCE BANK LOAN SCHEME ON THE ENTREPRENEURSHIP DEVELOPMENT IN NASARAWA LGA OF NASARAWA STATE

ABSTRACT

The study examined the effect of microfinance bank loan scheme on the entrepreneurship development in Nasarawa LGA of Nasarawa State. The specific objectives include; to find out the effect of microfinance bank loan scheme on the income of entrepreneurial activities in Nasarawa LGA, find out the extent at which microfinance bank loan scheme impact on the poverty of entrepreneurs in Nasarawa LGA and to find out the impact of microfinance bank loan scheme on operational pattern of entrepreneurship development in Nasarawa LGA. The researcher used primary data collection to gather information for analysis. Base on statistical test carried out using X,² hypothesis the study shows that microfinance loan scheme have a significant effects on entrepreneurship development in Nasarawa LGA of Nasarawa State. The study recommends that the microfinance institutions should put more effort in financing entrepreneurs and small and medium scale business in general and that the government should make laws and policies that improve the services of microfinance banks thereby removing the various problems militating against the effectiveness of microfinance banks in rural areas.

CHAPTER ONE

INTRODUCTION

1. Background to the study

Empowering the poor and small scale enterprises economically and liberating them from poverty is the major reasons for the establishment of micro finance institutions. According to Ehigiamusoe (2005), access to Sustainable access to microfinance operations helps alleviate poverty by generating income, creating jobs, allowing children to go to school, enabling families to obtain health care, and empowering women socially to make the choices that best serve their needs.

Microfinance activities encompasses the provision of financial services to poor and low income people who are normally excluded from traditional financial systems as they are considered uncomfortable due to lack of collateral, steady employment and a verifiable credit including market women (Egyir, 2010). The situation that envisions the poor and low income people of having permanent access to an appropriate range of financial services that include credit, savings, and insurance and fund transfers is the core business of microfinance (Westover, 2008).

Microfinance does not only mean providing poor families with small loans to help them engage in productive activities or grow their small businesses, but over time, microfinance operations has come to provide a broader range of services such as credit, savings, insurance, money transfer facilities for all. This is because developers have come to realize that the poor who lack access to traditional formal financial institutions require a variety of financial products to help them grow their businesses, support their households and to engender sustainable livelihoods (Hagen, 2004).

Entrepreneur tend to operate in an environment with low investment, low potential growth, cheap and home-based premises and endure harassment on issues concerning licensing (Stevenson and Onge, 2005). Researches support the fact that entrepreneurs, mostly in developing countries, do not have easy access to credit for their entrepreneurial activity; likewise, women entrepreneurs tend to have little or no education and often lack confidence (Gakure, 2003). This has necessitated a research of this kind in order to assess the effect of microfinance bank loan scheme on the entrepreneurship development in Nasarawa LGA of Nasarawa State.

1. Statement of the Problem

Despite the crucial role of women entrepreneurs in the economic development of their families and countries; it is, however, discovered that women entrepreneurs have low business performance compared to their male counterparts (Akanji, 2006; Gakure, 2003); and this is caused by lack of access to finance. The microfinance banks from studies have proved to be the only recognized institution strategically positioned to eradicate poverty. Berg (2001) argues that, most of the businesses in developing countries lack access to basic financial services that would help them manage their assets and generate income. Studies finds that participation in microcredit programs results in economic and socio empowerment (Mayoux, 2001), most entrepreneurs in microfinance institutions fall under informal sector with most of them involved in small business to earn income to support their families. In developing country like Nigeria, entrepreneurship play a major role in household production (Mayoux, 1995; Ledgerwood, 1999; Pitt and Khandker, 1998). These are researches conducted on the impact of microfinance on the development of women entrepreneurs, however, the situation is different in Nigeria and none of these researchers provided sufficient justification for the effect of microfinance bank on entrepreneur thus there is need for this study to assess the effects of microfinance bank loan scheme on entrepreneurship development in Nasarawa LGA of Nasarawa State.

1. Objectives of the Study

The main objective of this study is to assess the effects of microfinance bank loan scheme on entrepreneurship development in Nasarawa LGA of Nasarawa State

The specific objectives will include;

1. To find out the effect of microfinance bank loan scheme on the income of entrepreneurial activities in Nasarawa LGA.
2. To find out the extent at which microfinance bank loan scheme impact on the poverty of entrepreneurs in Nasarawa LGA
3. To find out the impact of microfinance bank loan scheme on operational pattern of entrepreneurship development in Nasarawa LGA

1. Research Questions

The following research questions will guide the researcher towards achieving the set objectives of the study:

1. What effect do micro-finance bank loan scheme have on the income of entrepreneur activities in Nasarawa LGA?
2. Do micro-finance bank loan scheme impact on the poverty of entrepreneurs in Nasarawa LGA
3. What effect do micro-finance bank loan scheme have on the operational pattern of women entrepreneur in the study area

1. Statement of Hypotheses

Ho: Micro-finance bank loan scheme does not have significant effect on the income of entrepreneur in Nasarawa LGA.

H₁: Micro-finance bank loan scheme has significant effect on the income of entrepreneur in Nasarawa LGA.

1. Scope and Limitations of the Study

The scope of the study shall cover the effects of microfinance bank loan scheme on entrepreneurship development in Nasarawa LGA. However, owing to shortage of literature and financial data, raw data shall be generated from selected small business operators in Nasarawa LGA.

The researcher encountered problems at the time of carrying out this research. The following limitations are inherent in the study:

1. Time: Since there is no time set aside for writing this project, researcher has to combine the writing of the project with her normal academic and other commitment in the academic environment.
2. Finance: Finance hinder the researcher from expanding the scope of this study beyond Nasarawa LGA as this will involve more money which is not at the disposal of the researcher.
3. Lack of adequate materials: Arising from inadequate reading materials and uncooperative attitude of a few respondents.

1. Significance of the Study

Given the fact that literature on effects of microfinance bank loan scheme on entrepreneurship development in Nasarawa LGA, the importance of this study is that it adds to the literature, and can also provide a basis for further research. As such, the study will contribute to recent debates on the roles of social capital and economic empowerment on Nigerian entrepreneurs and other small and scale medium business.

The findings of this study will benefit the Government of Nigeria and its agencies, Microfinance banks, and entrepreneurs. Moreover study revealed the importance of such institutions and furthers the understanding of its importance to society. Understanding its importance, the government will also be able to provide support services and strategies to enforce the micro-finance industry in order to reach the economically active entrepreneurs in Nasarawa LGA and the country at large.

Furthermore, it is expected that this study will be beneficial to MFIs, policymakers, small and medium enterprises operators and the community at large. It is further expected that the study will explore and recommends potential areas that MFIs needs to put more efforts when delivering their services. On the other hand, policymakers will also benefit in the sense that, the findings will provide informed suggestions on how policies can be improved.

1. Historical Background Of Nasarawa Microfinance Bank

Nasarawa Microfinance Bank Limited formerly known as Nasarawa Community was incorporated in Nigeria under the Companies and Allied Matter Act as a Private Limited Liability Company on the 8th March 1993 with RC No: 217845.

Nasarawa Microfinance Bank is located at  17, Umaru Makama Dogo Road, Nassarawa, Nasarawa LGA of Nasarawa state with sole aim of providing financial services effectively and sustainably to women, youth, and MSMEs in the community and beyond through the motivated human and requisite material resources so as to improve their standard of living.

The Nasarawa Microfinance presently operates from three location with corporate head office at N0 17 Umaru Makama Dogo Road, Nasarawa Local Government area of Nasarawa State and Lafia branch office at Block K1 shop No. 1 Lafia Modern Market and Toto branch office located at Opposite Central Pilot Primary School, Toto Abaji Road, Nasarawa State.

The bank presently offers several services among which accounts and loans services

Types of accounts services offered by the bank

1. Personal savings account
2. Individual current account
3. Fixed deposit account
4. Weekly / daily adashi saving account
5. Target Savings Account
6. Remittance account
7. Infant orphans savings account

Types of loan services offered by the bank

1. Microcredit loan
2. No worries loan
3. Assets acquisition loan
4. LPO finance loan
5. Joint venture loan
6. Lets go to farm loan
7. Self help loan
8. Adashi microcredit loan
9. Staff loans

1.9       Definition of Key Terms

Small Scale Business: Small and medium scale business as used in this project refers to any form of business which is private own and operated with a small number of employees, relatively low volume of sales and small capital based (Akanji, 2006)..

Microfinance: Microfinanceare small-scale financial services which are primarily credit and savings provided to entrepreneurs or rural dwellers such petty traders which is targeted at improving their businesses thus enhancing social economic wellbeing (Marguerite, 2001).

Entrepreneur: An entrepreneur is a person who sets up a business with the aim to make a profit. In the concept of this study, entrepreneurs are women who engaged in petty trades such as sales of food stuff, vegetables, clothes, provision store etc (Baba, 2013)

Microfinance Bank (MFBs):  Microfinance are financial institutions licensed to carry on the business of providing microfinance services such as savings, loan, domestic funds transfer, and other financial services that are needed by the active poor, micro, small and medium enterprises to conduct or expand their businesses (Marguerite, 2001). Micro- credit: In the light of this study, micro-credits are loans given out small and medium scale business especially women entrepreneurs to development and improvement their business (Hagen, 2004).

THE IMPACT OF ENTREPRENEURSHIP ON ECONOMIC DEVELOPMENT IN NIGERIA

THE IMPACT OF ENTREPRENEURSHIP ON ECONOMIC DEVELOPMENT IN NIGERIA

ABSTRACT

The study centered on the impact of entrepreneurship in economic development in Nigeria. The study aims at pursuing the following objectives: to find out the significant role of entrepreneurship in economic development of Nigeria; to ascertain the extent that government policies have improved the performance of entrepreneurial organization in Nigeria; to examine the extent to which macroeconomic policies foster entrepreneurship culture in economic development of Nigeria, and to identify the challenges of entrepreneurship in economic development in Nigeria. The study had a population size of 1100, out of which a sample size of 293 was realized using Taro Yamane’s formula. The study employed a survey research design. The instrument used for data collection was the questionnaire which was structured in line with likert five point rating scale and was validated. A total number of 293 questionnaires were distributed while 285 copies were retrieved. The data from the responses were presented using frequencies, simple percentages and cumulative percentages. The hypotheses were tested using the chi-square (X2) and F-test statistical tools. The study found out that: entrepreneurship plays significant (X2 ccal = 33.125 > X2 t0..5 = 7.962); there are positive significant impact of entrepreneurship in economic development of Nigeria State (X2cal = 15.965 > X20.5 = 7.962); government policies to an extent improve the performance of entrepreneurial Organization in Nigeria (Fc -test = 8.08 > Ft1 = 2.87); macroeconomic policies positively foster entrepreneurial culture (Fc -test = 8.08 > Ft1 = 2.87) entrepreneurship is challenged by finances in economic development of Nigeria. The study, based on the above findings, concluded that a comprehensive approach to the promotion of entrepreneurship rested on favourable economic policies, entrepreneurial skills/culture and improvement of entrepreneurial framework condition. The study recommends that there should be a strict policy framework that can enhance entrepreneurs-government partnership in area of finance, skill development and alliance.

CHAPTER ONE

INTRODUCTION

1.1     BACKGROUND OF THE STUDY

The socio-economic impact of entrepreneurship on the sustainable economic growth of the Nigerian economy is difficult to accurately measure or estimate, but it is believed to be highly dynamic and significant (Oyelola, Ajiboshin, Raimi, Raheemi, Igew 2013). However, a study estimated that between 45 and 60 percent of the urban labour force work for small private enterprises or what is otherwise called small businesses Nwaka, (2005). Another study suggests that entrepreneurship has been beneficial because the Nigerian private sector comprising of small and medium enterprises provides diverse employment opportunities for 50 percent of the country’s population and 50 percent of its industrial output, Ariyo (2005).

Entrepreneurship may not be regarded as the sufficient condition for the growth and development activities, but it is surely a necessary condition. This perhaps informs why Adeyemi (2012:2) avers that “entrepreneurship is the livelihood of any economy”. It is in line with this position that entrepreneurship is looked at as being imperatives for the economic development of Nigeria. Nigeria, the most populous country in Africa, is naturally endowed with millions and millions of acres of durable land, 38.5 bullions barrels of stated oil reserves, vast gas reserves, a variety of unexploited minerals, and a wealth of human capital by virtue of its estimated population of 150 million (Oteh, 2009:1).

Entrepreneurship also creates goods and services that are capable of satisfying needs. The multiplicity of this creation enlarges productivity. Agbaeze (2007:36) cites John Kendrick as informing that higher productivity is chiefly a matter of improving production techniques and this is entrepreneurial functions per excellence. Two keys to higher productivity are research and development (R and D) and subsequent investment in the plant and machinery.

Furthermore, entrepreneurs are usually, thirsty for innovation and creation in a bid to have competitive advantage over each other’s inventions, new technologies and development. A single creation may lead to a number of other creations and subsequently new products. In the 18th century, James Watt, in England, developed and perfected the steam engine, in a bid to ease the production processes in the factory (Agbaeze; 2007). To take advantage of this intervention and remove some of the bottlenecks associated with it in the mid 1960s, James Hargreaves invented the spinning jenny, an invention linked to the steam engine. Further in 1785, an English clergy man invented the power loom-a weaving machine powered by the steam engine.

Agbaeze (2007:36) cites Zoltan as describing small business, created by entrepreneurs as agents of change in the market economy. Two possible types of technological changes associated with products/services in the market place include quantum technological change that result into quantum product innovation (a shift or jump from the existing product to entirely new product), and incremental technology change – that is change that refines an existing technology and leads to gradual improvements or refinements in products and services overtime. In any of the cases, competition is rejuvenated. Firms are worked up and competitions are renewed. Relay-race is investigated by changes in innovations and counter innovations

From the forgoing, therefore, the assumption and/or hypotheses that entrepreneurship is linked to economic growth finds it’s most immediate foundation in simple intuition, common sense and pure economic observation: activities to convert ideas into economic opportunities lie at the very heart of entrepreneurship. Entrepreneurship is a source of innovation and change, and a such spurs improvement in productivity and competitiveness (Agbaeze, 2007:36 cites Zoltan).

On account of encouraging entrepreneurial initiatives, the country has experienced exponential growth in the number of private firms. However, majority of these businesses are very small when their operations are measured in terms of capital, employment and revenues (Attahir and Minet, (2000). Added to the above is difficulty confronted by small businesses in accessing bank credits, but the most serious and damaging problem threatening the state of entrepreneurship in Nigeria is the poor government interest and support for micro, small enterprises Chu et al., (2008). Besides, entrepreneurship and small and medium enterprises development is hampered by surplus of challenges like bad roads, bribes by government officials, multiple taxes, epileptic power supply and rising overhead costs on transportation and communication. All these challenges and similar others have attracted the interest of the researcher, therefore, this study seek to examine the impact of entrepreneurship on economic development of Nigeria.

1.2     Statement of the problem

Entrepreneurship is often seen as a process of creation with a view to identifying gaps in need, and mobilizing the necessary factors of production to close the gap(s) with a view to profiteering, if not immediately, later. By so doing so many societal problems are solved. The above notwithstanding, in Nigeria over half of the Nigerian’s population lives on less than a dollar a day. Nigeria is one of the top three countries in the world that have the largest population of poor people. In addition, Nigeria remains off track on achieving the millennium development goals (MDGs) especially in alleviating a number of people who live in extreme poverty through entrepreneur ideas. The economic reforms have not been sufficient to reverse years of economic decline, deteriorating capacity, weakened institutions and inadequate infrastructure investment while the recent drama in stock market decline and banking crises and the global economic crises have accentuated the situation.

The enormity of the challenge is corroborated by Nigeria’s low score on human development index (HDI) – an index that measures the average achievement of a country in terms of the welfare and quality of its people. Consequently entrepreneurial development in Nigeria appears to have not performed creditable well and hence not played the expected vital and vibrant role in the economic growth and development of Nigeria. This situation has been of great concern to the government, citizenry, operators and practitioners of the organized private sector. It is thus, against this background problem that this seek to examine the impact of entrepreneurship in the economic development of Nigeria.

1.3     Research Questions

The following research question will serve as a guide to the researcher in attempt to achieve the objective of this study.

1. Does entrepreneurship play significant role in economic development of Nigeria?
2. To what extent do the government policies improved the performance of entrepreneurial organization in Nigeria?
3. To what extent do macroeconomic policies foster entrepreneurship culture in economic development of Nigeria?
4. What are the challenges of entrepreneurship in economic development in Nigeria?

1.4     Objectives of the Study

The general objective of this study is to examine the impact of entrepreneurship on economic development in Nigeria. The specific objectives include:

1. To find out the significant role of entrepreneurship in economic development of Nigeria.
2. To ascertain the extent that government policies have improved the performance of entrepreneurial organization in Nigeria.
3. To examine the extent to which macroeconomic policies foster entrepreneurship culture in economic development of Nigeria.
4. To identify the challenges of entrepreneurship in economic development in Nigeria.

1.     Statement of Hypotheses

H_i1: There are positive significant roles of entrepreneurship in economic development of Nigeria

H_i2: Government policies to an extent improve the performance of entrepreneurial Organization in Nigeria.

1.     Significance of the Study

The study is significant in a number of ways: First, it is hoped that the findings of this study would be of immense importance to government and economic policy makers. On the government side, the study would help government to develop and implement policies that would foster entrepreneurial culture.

Secondly, the study would be of immense significant to the students of management, economics/political economy and sociology. The researcher will use this study as a source of secondary data for further studies.

Thirdly, the study is significant in that it would contribute to the growth of literature in the area of entrepreneurial culture/entrepreneurship and it will be very useful for all those who want to carry out research in the same area.

1.      Scope of the study

This study focused on the impact of entrepreneurship on economic development of Nigeria. Basically the study concentrated on some selected small and medium enterprises in Lokoja town.

1.     Limitations of the study

Certain limitations encountered in the course of the study include:

Attitude of the Respondents: This study was further limited by the attitude of the respondents. Owing to high level of ignorance, many respondents were reluctant to fill the questionnaire and also felt indisposed to provide vital information. The constraints notwithstanding, the researcher successfully overcame and did a good research work.

1.9     Definition of Terms

Business: Is the planned activities of individuals or groups of people aimed at producing and selling, for a profit, the goods and services that satisfy the need of consumers.

Economic Development: The improvement of the individuals, society well being, such that the GDP of such people/societies equals or greater than the United Nations standard.

Economic Structure: Institutional arrangement for deciding on what, how and for whom goods and services are to be produced.

PRODUCTION OF A PHENOLIC GERMICIDE IZAL AND ITS ECONOMIC IMPORTANCE

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PRODUCTION OF A PHENOLIC GERMICIDE IZAL AND ITS ECONOMIC IMPORTANCE

ABSTRACT

Phelonic germicide (IZAL)  is a trade mark of a disinfectant used in homes and public building for cleaning and washing. IZAL is used as a disinfectant both in the homes and hospitals. It is splashed on concrete walls and floors of which the homes and hospital are made. This project was undertaken to produce phenolic germicide (IZAL) and to determined its economic importance. Ten procedures were followed or carried which starts from mixing of the ingredients to packaging.  Necessary precautions where followed to ensure a safe production which includes use protective wears as the chemicals for making Izal are harmful to humans and spillage into the eyes or inhalation into the lungs can cause severe damage. Therefore, there is a need for eye goggles and nose masks as well as the use of plastic hand gloves to protect the hands against corrosion or irritation.

CHAPTER ONE

INTRODUCTION

1. Background of the Study

Every year globally billion of dollars are spent on disinfectant bleaches alone and much more on other kinds of disinfectants. In general, these products have been thoroughly tested and their activity demonstrated by standard laboratory tests and in many cases by simulated ‘in use’ tests. In addition there are reports indicating correlation between disinfectant usage and the reduction of environmental contamination, and between disinfectant use and control of infection, although the majority of these are concerned with hospitals.

Disinfectants are antimicrobial agents that are applied to non-living object to destroy microorganisms that are living on the objects. Disinfection does not necessarily kill all microorganisms, especially resistant bacteria spores; it is less effective than sterilization, which is an extreme physical and or chemical process that kills all types of life. Disinfectants are different from other antimicrobial agents such as antibiotics which destroy microorganisms within the body and antiseptics, which destroy microorganisms on living tissue. Disinfectants are also different from biocides-the latter are intended to destroy all forms of life, not just microorganisms. Disinfectants work by destroying the cell wall of microbes or interfering with the metabolism. Sanitizers are substances that simultaneously clean and disinfect (Cleaning and disinfecting, 2009).

Disinfectants, which are chemicals used as germicides are targeted at preventing pathogenic microorganisms from contaminating livestock and their products. Regrettably, the application of these disinfectants sometimes does not seem to achieve the purpose for which they are used (Onah, 2004). However, according to Block (2001) and Chima et al. (2011) proper disinfectantion practice targets the reduction of the number of pathogens in the farming environment thereby reducing the frequency and intensity of disease occurrence in poultry. The mode of action of the disinfectant chemicals is usually to disrupt significant cellular structures or processes in order to destroy and eliminate the micro organisms (Allen et al., 2006).

Commercially available disinfectants that usually exhibit excellent results against microbes during standard laboratory tests may not show the expected efficacy against disease causing pathogens, especially under tropical small scale farming conditions (Corlett, 1998). There are many reasons for this which may include the fact that the carefully controlled conditions of the standard test methods are not usually the same in the farm environment and also the variations in the disinfection practices at different the poultry farms, especially at the small scale level in many developing countries.

Disinfectants are frequently used in hospitals, dental surgeries, kitchen and bathrooms to kill infectious organisms; among such disinfectants is izal. Izal is a germicidal disinfectant made from oil that was patented in 1893. This product can be available in liquid form, powdery form and as soap, cream, or oil. Izal contain about 0.2% of phenol and 0.7% of phynyl-phenol. Phenol has an aromatic ring with an OH group. Phenol is a caustic  poisonous crystalline acidic compound C₆H₅OH present in coal tar and wood tar that in dilute solution is used as disinfectant (Thompson, 2002).

1.2       STATEMENT OF PROBLEMS

The current increase in the prevalence of infections within the hospital environment and homes despite adequate cleaning and disinfection is due to ineffectiveness of the various disinfectant formulations used in infection control and development of resistance to the various chemical disinfectant formulations being used.  Disinfectants which are ideal for the killing of this microorganism at homes, hospitals and other public places in recent times have become too expensive and out of the reach of common man.  It is therefore very important for every house hold or individuals to learn how produce or disinfectant such as phenolic germicide (izal) which are cheaper and very effective.

1.3       OBJECTIVES OF THE STUDY

The general objective of this study include

1. To produce a phenolic germicide (Izals)
2. To test the Physical characteristics of the product
3. And determine the economic importance of Izal

1.4       SCOPE OF THE STUDY

Due to financial constraints and time, this research work is limited to the production of Phenolic germicide (Izal) among other disinfectant.

1.5       SIGNIFICANCE OF THE STUDY

This study will contribute to healthy living by giving orientation to students studying in the higher institutions or skill acquisition centres, and enlighten the general public on the effectiveness, areas of application and the advantage of disinfectants such as Izal among others.

It will help to proffer solutions to the problems associated with  contamination, transmission, prevention and control of some deadly diseases and infections.

The result of this research work would be useful in the production of cheap and effective disinfectant.  Finally it will serve as a reference material for subsequent researches; the finding and recommendation will be a source of useful information to other researchers.

PRODUCTION OF A MULTIPURPOSE LIQUID SOAP AND IT’S ECONOMIC VALUE

PRODUCTION OF A MULTIPURPOSE LIQUID SOAP AND IT’S ECONOMIC VALUE

ABSTRACT

Liquid soap is becoming a very popular product in the country today. Many use it for domestic purposes at home to wash clothes and kitchen utensils; restaurants and eateries are not left out too; thus project is an attempt to produce a multipurpose liquid soap which is aimed at reducing the cost of purchasing the conventional soap in the market and enhancing its cleansing effectiveness. Materials needed for this production were locally sources from the market and normal or laboratory procedures followed to produce the desired products. The multipurpose liquid soap produced proved to very cost effective and efficient and has economic advantages or value over the conventional detergents or soap.

CHAPTER ONE

1.0       Introduction

Soaps are water soluble sodium or potassium salts of fatty acids. Soaps are made from fats and oils, or their fatty acids, by treating them chemically with a strong alkali. The soap industry in Nigeria is at the high growth rate and many new entrants are planning to launch their product in this category. Soaps form the largest pie of the FMCG Market with bathing & toilet soaps accounting for around 30% of the soap market by value.

Liquid soap is becoming a very popular product in the country today. Many use it for domestic purposes at home to wash clothes and kitchen utensils; restaurants and eateries are not left out too. One interesting thing that makes the demand for liquid soap to be  very high  is the fact that it is easier and cheaper to use than every other washing substances. Little wonder a lot of people are now venturing into the business. Capital for production is usually very low and one may not require any further teaching since internet has made everything beautiful in this generation of ours.

Soap may be defined as a chemical compound or mixture of chemical compound resulting from the interaction of fatty acids or fatty glycerides with a metal radical (organic base). It is any water soluble salt of whose fatty acid which contains eight or more carbon atoms. Soap is class of product that serves for cleaning of human, property and surrounding. Hence, soap in its various forms, is in high demand. In all society, for generation its use has increased until its manufacture has become an industry essential to the comfort and health of civilized man. Soap is known for its laundry and cleaning purpose, though calcium soap has been used in animal feed formulation (Desal, and Joseph, 1991).

Soap depends for its washing action on the fact that its molecules possess one ionic (polar, water-attracting or hydrophilic) end and one covalent (non-polar, water repelling or hydrophobic) end which attracts oils and greases (Namiesnik. et al., 2011) Thus, soap molecules can make water and oils come into an emulsion which can be washed away. Soaps are essentially the sodium or potassium salts of various fatty acids.

Soaps also contain additives for some desired qualities. These include salt; soda ash, colour, citric acid, sodium silicate, sodium bicarbonate, perfume, borax trisodium phosphate and magnesium sulphate. A combination of inexpensive builders, example soda ash with more effective (an expensive) tetrasodium pyrophosphate or sodium triphosphate, is sometimes superior to the phosphate used alone.

Basically, all soaps are made by saponification (Karl, 1991).Hydrolysis of naturally occurring fat and oil by sodium hydroxide (caustic soda) or potassium hydroxide (caustic potash).. Various additives have been used to impact some specific characteristics to the product. The quality and properties affecting soap and also the processing depends on the factors such as the nature and the type of oil used, the type of Alkali and the proportion of mixture of both major raw materials.

1. Objective of the Study

The objective of this research is the production of multipurpose liquid soap and its economic value.

1. Limitation of the Study

This research is limited to the production of a multipurpose liquid soap and its economic value. This is due to lack of fund and time.