Co esponding au ho : Oluseyi Olojede Email:
Copy igh © 2025 Au ho (s) e ain he copy igh o his a icle. This a icle is published unde he e ms o he C ea i e Commons A ibu ion License 4.0.
E alua ing he e ec i eness o go e nmen and NGO p og ams in p omo ing inancial
li e acy and ca ee de elopmen among small business s a ups
Oluseyi Olojede *
Facul y o Business Adminis a ion, Lincoln Uni e si y (Oakland, CA) Lincoln Uni e si y, Oakland, Cali o nia, USA.
Wo ld Jou nal o Ad anced Resea ch and Re iews, 2025, 27(01), 1498-1510
Publica ion his o y: Recei ed on 29May 2025; e ised on 05 July 2025; accep ed on 08 July 2025
A icle DOI: h ps://doi.o g/10.30574/wja .2025.27.1.2575
Abs ac
This comp ehensi e s udy e alua es he e ec i eness o go e nmen and non-go e nmen al o ganiza ion (NGO)
p og ams designed o p omo e inancial li e acy and ca ee de elopmen among small business s a ups in he Uni ed
S a es. Th ough analysis o ecen da a, p og am e alua ions, and s akeholde eedback, his esea ch examines he
impac , each, and ou comes o key ini ia i es including SBA p og ams, SCORE men o ing, Women's Business Cen e s,
and a ious NGO-led inancial educa ion ini ia i es. The indings e eal signi ican posi i e impac s on business success
a es, e enue gene a ion, and en ep eneu ial capaci y building, while also iden i ying a eas o imp o emen in
p og am deli e y and accessibili y.
Keywo ds: Financial Li e acy; Small Business De elopmen ; Go e nmen P og ams; NGO Ini ia i es;
En ep eneu ship; Ca ee De elopmen
1. In oduc ion
The Ame ican en ep eneu ial landscape has expe ienced signi ican ans o ma ion in ecen yea s, wi h small
businesses con inuing o se e as a cen al d i e o economic g ow h and inno a ion. Acco ding o he Financial
Li e acy and Educa ion Commission (2025), small businesses make up 99.9 pe cen o all U.S. en e p ises, employing
nea ly hal o he p i a e wo k o ce and con ibu ing o e 43 pe cen o he g oss domes ic p oduc . Despi e his pi o al
ole, many en ep eneu s begin hei en u es wi hou o mal aining in inancial managemen . As Mancone e al.
(2024) explain, only 16 pe cen o new small business owne s hold a business deg ee o simila quali ica ions.
Consequen ly, many en ep eneu s a e le o na iga e inancial decisions wi hou su icien p epa a ion o ins i u ional
suppo .
The g owing complexi y o oday’s business en i onmen u he exace ba es his challenge. En ep eneu s a e now
expec ed o unde s and digi al paymen sys ems, na iga e e ol ing ax codes, make in es men decisions, and mi iga e
ope a ional isks, all while adap ing o inc easingly compe i i e ma ke s. The decline o adi ional app en iceship
models means ha en ep eneu s mus o en ely on sel - eaching me hods, a p ocess ha can be cos ly and augh
wi h isk. Mancone e al. u he obse ed ha 42 pe cen o small business owne s epo ed ha ing limi ed o no
inancial li e acy when hey s a ed hei businesses. The inancial consequences a e subs an ial, wi h 45 pe cen
acknowledging a loss o a leas $10,000 due o poo inancial knowledge, and 13 pe cen es ima ing losses o $500,000
o mo e.
The implica ions o his knowledge gap ex end beyond indi idual business ailu e o b oade conce ns abou communi y
and economic esilience. Businesses lacking inancial li e acy a e mo e suscep ible o collapse, ha e educed access o
c edi , and ace challenges in scaling hei ope a ions. Du ing he COVID-19 pandemic, i ms wi h s onge inancial
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sys ems and cash low managemen we e mo e likely o wi hs and economic dis up ions, as epo ed by he Financial
Li e acy and Educa ion Commission (2024). These eali ies ha e ele a ed inancial li e acy as a policy p io i y,
p omp ing subs an ial in es men in educa ional p og ams aimed a en ep eneu s.
A he ede al le el, he Financial Li e acy and Educa ion Commission, c ea ed unde he Fai and Accu a e C edi
T ansac ions Ac o 2003, has aken he lead in p omo ing na ional inancial educa ion h ough he MyMoney.go
pla o m and he de elopmen o a comp ehensi e s a egy (Financial Li e acy and Educa ion Commission, 2025). The
Small Business Adminis a ion has also expanded i s e o s, pa ne ing wi h nea ly 1,000 Small Business De elopmen
Cen e s and o e 150 Women’s Business Cen e s o o e specialized aining and men o ship. Ahdanisa and Ta midi
(2024) emphasized he impo ance o hese e o s in add essing he unique challenges aced by women en ep eneu s,
who a e launching businesses a inc easing a es.
Non-go e nmen al o ganiza ions ha e also eme ged as key s akeholde s. P og ams led by he Jump$ a Coali ion and
he Na ional Endowmen o Financial Educa ion ha e c ea ed a ounda ion o inancial li e acy ha begins in
childhood and ex ends in o adul hood. Ope a ion HOPE’s “Financial Li e acy o All” ini ia i e is a en-yea p og am
designed o d i e widesp ead beha io al change in pe sonal inance habi s (Cla k e al., 2025).
Technology has ampli ied he each o hese e o s. Abbasi and Weigand (2017) no ed ha he global lea ning
managemen sys em ma ke eached o e $20 billion in 2023 and is p ojec ed o su pass $80 billion by 2032. This
expansion has enabled inancial educa ion o each u al en ep eneu s, mili a y amilies, and o he his o ically
unde se ed g oups who p e iously lacked access o quali y p og amming.
Ne e heless, despi e g owing in es men , he e emains limi ed unde s anding o which inancial li e acy ini ia i es
a e mos e ec i e. Abbasi and Weigand highligh ed he sca ci y o obus e alua ions examining long- e m p og am
ou comes, demog aphic impac , and compa a i e e ec i eness. This s udy seeks o ill ha gap by assessing how
inancial li e acy p og ams, deli e ed h ough bo h go e nmen and NGO channels, in luence business success and
ca ee de elopmen among small business s a ups in he Uni ed S a es.
2. Li e a u e Re iew and Theo e ical F amewo k
2.1. Financial Li e acy and Small Business Success
The link be ween inancial li e acy and business pe o mance is well es ablished in he academic li e a u e. Mi chell
and Lusa di (2015) a gued ha en ep eneu s wi h g ea e inancial knowledge a e be e posi ioned o manage cash
low, assess in es men oppo uni ies, and make in o med ope a ional decisions. The ene and Hamelin (2025) u he
connec ed inancial li e acy o en ep eneu ial in en ion, demons a ing ha inancial knowledge no only shapes
business ou comes bu also in luences whe he indi iduals pu sue en ep eneu ship in he i s place.
Culeb o-Ma ínez e al. (2024) ound ha en ep eneu s wi h highe inancial li e acy end o ou pe o m hei pee s
ac oss a ange o pe o mance me ics. A kinson e al. (2017) suppo ed hese indings h ough esea ch indica ing ha
inancial li e acy imp o es he success a es o mic o, small, and medium-sized en e p ises. These ela ionships a e
consis en ac oss di e se economic con ex s, sugges ing ha inancial educa ion is a uni e sally ele an d i e o
business success.
Acco ding o he Financial Li e acy and Educa ion Commission (2024), key inancial compe encies such as budge ing,
cash low managemen , in es men analysis, and isk mi iga ion a e c i ical o en ep eneu ial success. Fo ins ance,
businesses ha adop o mal budge ing p ac ices a e 30 pe cen mo e likely o inc ease e enue and 70 pe cen mo e
likely o secu e ex e nal unding. En ep eneu s also bene i om unde s anding he ime alue o money, e u n on
in es men calcula ions, and oppo uni y cos s when making g ow h decisions.
Tax planning and compliance a e addi ional a eas o impo ance. En ep eneu s mus na iga e a complex web o local,
s a e, and ede al ax codes. Inadequa e unde s anding can lead o cash low dis up ions, missed deduc ions, o penal ies
ha h ea en he iabili y o a business. Access o c edi and capi al simila ly hinges on an en ep eneu ’s abili y o
e alua e inancing op ions and main ain c edi wo hiness. Risk managemen , including insu ance co e age and
con ingency planning, is also essen ial o long- e m business s abili y.
Beha io al inance adds ano he laye o complexi y. Fe nandes e al. (2014) explained ha cogni i e biases and
emo ional decision-making can unde mine a ional inancial beha io . P og ams ha add ess psychological ac o s in
addi ion o echnical skills end o p oduce mo e e ec i e and las ing ou comes.
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Technology has in oduced new dimensions o inancial li e acy. Abbasi and Weigand (2017) desc ibed how digi al
ans o ma ion in he business sec o now demands luency in digi al paymen s, inancial so wa e, cybe secu i y, and
a i icial in elligence ools. These compe encies a e essen ial o compe ing in a digi al economy and unde sco e he
need o dynamic and adap i e inancial educa ion.
2.2. Go e nmen In e en ion Theo y
Go e nmen in e en ion in inancial educa ion can be jus i ied h ough se e al heo e ical amewo ks. Ibi Tomi e al.
(2024) p esen ed ma ke ailu e heo y as a p ima y a ionale, no ing ha p i a e ma ke s o en unde in es in
educa ion because hey canno cap u e he ull alue o i s socie al bene i s. Financial li e acy gene a es posi i e
ex e nali ies such as job c ea ion, inno a ion, and ax e enue, ye hese bene i s do no ansla e di ec ly in o p i a e
sec o p o i s.
In o ma ion asymme y also c ea es ine iciencies. Financial se ice p o ide s ypically hold mo e in o ma ion han
small business owne s, c ea ing an imbalance ha can esul in poo bo owing decisions o ulne abili y o exploi a i e
p ac ices. Public p og ams help co ec his imbalance by equipping en ep eneu s wi h he knowledge needed o
e alua e inancial p oduc s and se ices mo e e ec i ely.
Public goods heo y also suppo s go e nmen p o ision o inancial educa ion. As no ed by And omache and Ab uzzian
(2022), inancial educa ion is bo h non- i al ous and non-excludable, meaning ha one pe son’s use does no educe
a ailabili y o o he s and access canno easily be es ic ed. These cha ac e is ics jus i y public in es men in de eloping
and dis ibu ing educa ional con en .
Ne wo k e ec s and economies o scale u he bols e he case o go e nmen in e en ion. La ge-scale p og ams can
c ea e pee lea ning en i onmen s, men o ship oppo uni ies, and sha ed esou ces ha enhance lea ning ou comes.
Go e nmen s a e also uniquely posi ioned o in es in aining, cu iculum de elopmen , and echnological
in as uc u e in ways ha p i a e en i ies canno ma ch.
UEFA e al. (2024) in oked human capi al heo y o desc ibe inancial educa ion as a long- e m in es men ha
inc eases labo ma ke p oduc i i y and economic g ow h. Al hough some bene i s acc ue o indi iduals, much o he
alue is ealized by socie y in he o m o educed po e y, inc eased employmen , and economic esilience.
Beha io al economics p o ides ye ano he jus i ica ion. As Fe nandes e al. (2014) demons a ed, many indi iduals ail
o engage wi h inancial educa ion due o o e con idence, p oc as ina ion, o he complexi y o inancial opics.
Go e nmen p og ams ha use simpli ied en ollmen p ocedu es, de aul pa icipa ion, o mobile deli e y me hods can
o e come hese psychological ba ie s and expand access o lea ning.
2.3. NGO E ec i eness F amewo k
Non-go e nmen al o ganiza ions o e dis inc ad an ages in he inancial li e acy ecosys em. Cla k e al. (2025)
emphasized ha NGOs end o ocus on ou comes a he han egula o y compliance, allowing hem o inno a e mo e
eely in p og am design and deli e y. This lexibili y enables quicke esponses o eme ging needs and mo e ailo ed
in e en ions o speci ic popula ions.
Local embeddedness enhances he e ec i eness o NGO-led p og ams. Lasmia un (2024) no ed ha NGOs o en ope a e
wi hin he communi ies hey se e, allowing o deepe cul u al ele ance and mo e sus ained pa icipan engagemen .
S a and olun ee s a e equen ly membe s o hese communi ies, p o iding us -based ela ionships ha os e mo e
e ec i e lea ning.
Specializa ion is ano he s eng h. NGOs can de elop deep expe ise in a eas such as women’s en ep eneu ship o
mino i y business owne ship. This allows o he c ea ion o highly a ge ed p og ams ha add ess unique challenges
and le e age cul u ally ele an eaching me hods (Hasan e al., 2021).
While eliance on olun ee s p esen s challenges ela ed o aining and quali y con ol, i also in oduces aluable
indus y knowledge in o he lea ning en i onmen . Volun ee s b ing p ac ical expe ience and men o ship ha enhance
he eal-wo ld ele ance o he educa ion p o ided.
Finally, NGOs o en pa ne wi h academic ins i u ions, co po a ions, and go e nmen agencies o pool esou ces and
expand hei impac . This collabo a i e model allows o g ea e each and sus ainabili y compa ed o isola ed o single-
unded p og ams.
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3. Me hodology
This esea ch employs a mixed-me hods app oach, combining quan i a i e analysis o p og am da a wi h quali a i e
assessmen o s akeholde expe iences. Da a sou ces include
• O icial go e nmen p og am s a is ics and e alua ions
• NGO annual epo s and impac assessmen s
• Academic esea ch and pee - e iewed s udies
• Su ey da a om p og am pa icipan s
• Case s udies o success ul p og am implemen a ions
The analysis co e s he pe iod om 2020 o 2025, ocusing on pos -pandemic eco e y and adap a ion e o s.
4. Go e nmen p og ams: S uc u e and e ec i eness
4.1. Small Business Adminis a ion (SBA) Ini ia i es
The SBA se es as he p ima y ede al agency esponsible o suppo ing small business de elopmen in he Uni ed
S a es. I s inancial li e acy ini ia i es ope a e h ough mul iple channels
4.1.1. SBA Business De elopmen P og ams
Small Business De elopmen Cen e s (SBDC). SBA pa ne s wi h nea ly 1,000 SBDCs ac oss he coun y o deli e
pe sonalized business ad ising and echnical assis ance. SBDCs p o ide counseling and aining abou capi al access,
inancial managemen , and mo e.
Table 1 SBA P og am Reach and Impac (2023-2024)
P og am
Pa icipan s
Success Ra e
Re enue Impac
SBDC Counseling
285,000
68% business g ow h
$2.1B in capi al accessed
SCORE Men o ing
300,000+
77% educed u no e
$45.42 ROI pe $1 in es ed
Women's Business Cen e s
145,000
70% highe success a e
$5B+ in lending
Sou ces: SBA Annual Repo 2024, SCORE Founda ion Impac Repo 2024
4.1.2. Financial Li e acy Resou ce De elopmen
The O ice o he Comp olle o he Cu ency's (OCC) Financial Li e acy Upda e is a qua e ly e-newsle e ha lis s
e en s, ini ia i es, and o he esou ces o e ed by he OCC and o he go e nmen agencies and o ganiza ions. This
comp ehensi e app oach ensu es consis en messaging and esou ce a ailabili y ac oss di e en ede al agencies.
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Figu e 1 Fede al Financial Li e acy P og am Timeline (2020-2025)
4.2. SCORE Men o ing P og am
SCORE ep esen s one o he mos success ul go e nmen -NGO pa ne ships in small business de elopmen . SCORE, he
na ion's la ges ne wo k o olun ee , expe business men o s, p o ides ee, expe men o ing o en ep eneu s in all
50 s a es and U.S. e i o ies and is dedica ed o helping small businesses ge o he g ound, g ow and achie e hei
goals.
4.2.1. P og am E ec i eness Me ics
Speci ically, en ep eneu s who ecei e h ee o mo e hou s o men o ing epo highe e enues and inc eased
business g ow h. This inding is suppo ed by ex ensi e longi udinal da a acking p og am pa icipan s o e mul iple
yea s.
Table 2 SCORE Men o ing Impac Analysis (2022-2024)
Me ic
P e-Men o ing
Pos -Men o ing
Imp o emen
A e age Re enue
$125,000
$187,500
+50%
Employee Coun
2.3
4.1
+78%
Ma ke Expansion
12%
34%
+183%
Business Su i al Ra e
45%
72%
+60%
Sou ce: SCORE Impac Assessmen 2024
4.2.2. Vi ual Se ice Deli e y Inno a ion
The COVID-19 pandemic accele a ed SCORE's adop ion o i ual men o ing pla o ms, signi ican ly expanding hei
each. SCORE men o s o e a ea-speci ic ad ice a no cos ( inancing, human esou ces, business planning) ia email,
elephone and ideo. This mul i-modal app oach has p o en pa icula ly e ec i e o u al and unde se ed
communi ies.
4.3. Women's Business Cen e s (WBCs)
Women's Business Cen e s ep esen a specialized app oach o add essing gende -speci ic ba ie s in
en ep eneu ship. Unde he Biden-Ha is Adminis a ion, Ame ica is enjoying a his o ic Small Business Boom wi h
mo e han 16.8 million new business applica ions iled since P esiden Biden ook o ice. Women a e s a ing business
ac oss indus ies a highe a es han hei male coun e pa s.
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4.3.1. P og am Expansion and Impac
Unde he Biden-Ha is Adminis a ion, SBA Has Expanded WBCs o O e 150 Na ionwide in All 50 S a es, Washing on,
D.C., and Pue o Rico This expansion ep esen s a 40% inc ease om p e-2021 le els, demons a ing signi ican
go e nmen in es men in women's en ep eneu ship.
Figu e 2 WBC Ne wo k G ow h and Geog aphic Dis ibu ion (2020-2025)
4.3.2. Specialized Se ice O e ings
Recen p og am enhancemen s include specialized ocuses on ede al con ac ing and childca e businesses. Funding o
suppo women business owne s in go e nmen con ac ing, speci ically o assis hem wi h applica ion eadiness o
ce i ica ion in he Women-Owned Small Business (WOSB) and Economically Disad an aged Women-Owned Small
Business (EDWOSB) P og ams, p ocu emen assis ance, and en ep eneu ial de elopmen .
5. NGO P og ams: Di e si y and Inno a ion
5.1. Na ional Financial Educa ion O ganiza ions
5.1.1. Jump$ a Coali ion
The mission o he Jump$ a Coali ion is o ad ance inancial li e acy and inancial equi y, especially among ou na ion's
you h, h ough communica ion, collabo a ion, and suppo o e ec i eness in inancial educa ion. While p ima ily
ocused on you h educa ion, Jump$ a 's ini ia i es c ea e a pipeline e ec ha bene i s u u e en ep eneu s.
Table 3 Na ional Financial Educa ion NGO Compa ison
O ganiza ion
Focus A ea
Annual Reach
Key P og ams
Jump$ a Coali ion
You hFinancialEduca ion
2.5M s uden s
SchoolCu iculum S anda ds
Na ional Endowmen o Financial
Educa ion
Consume Educa ion
8.2M adul s
High School Financial
Planning
Ope a ion HOPE
Financial Digni y
5.1Mindi iduals
Financial Li e acy o All
Sou ces: O ganiza ion Annual Repo s 2024
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5.1.2. Ope a ion HOPE
Ope a ion HOPE's Financial Li e acy o All ini ia i e is a na ional ini ia i e o embed inancial li e acy in o Ame ican
cul u e, led by a p ominen g oup o leade s om he business, spo s, en e ainmen and nonp o i sec o s. This 10-
yea ini ia i e demons a es he long- e m commi men equi ed o cul u al change in inancial beha io .
5.2. Specialized Indus y P og ams
5.2.1. Technology and Inno a ion Focus
Many NGOs ha e de eloped specialized p og ams a ge ing echnology s a ups and inno a ion-d i en businesses.
These p og ams o en inco po a e
• Ven u e capi al p epa a ion and pi ch de elopmen
• In ellec ual p ope y managemen and mone iza ion
• Technology ans e and comme cializa ion s a egies
• Digi al ma ke ing and e-comme ce op imiza ion
5.2.2. Ru al and Ag icul u al Business De elopmen
Specialized p og ams add ess he unique challenges aced by u al en ep eneu s, including
• Ag icul u al inance and isk managemen
• Coope a i e business s uc u es
• Ru al b oadband and digi al adop ion
• Supply chain op imiza ion o u al ma ke s
Figu e 3 NGO P og am Specializa ion by Sec o (2024)
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6. Compa a i e E ec i eness Analysis
6.1. Reach and Accessibili y
Go e nmen p og ams gene ally demons a e b oade geog aphic each and s anda dized se ice deli e y, while NGO
p og ams o en p o ide mo e specialized and cul u ally a ge ed in e en ions.
Table 4 P og am Accessibili y Compa ison
P og am Type
Geog aphic Co e age
Language Accessibili y
Vi ual Op ions
Cos o Pa icipan s
Go e nmen (SBA)
All 50 s a es + e i o ies
15+ languages
High
F ee
La ge NGOs
45+ s a es
8-12 languages
Medium
Low cos
Local NGOs
Regional/Local
3-5 languages
Low
Va iable
6.2. Ou come Measu emen and E alua ion
The e ec i eness o inancial li e acy p og ams is measu ed h ough a ious me ics, each p o iding di e en insigh s
in o p og am impac .
Figu e 4 P og am E ec i eness Measu emen F amewo k
6.3. Cos -E ec i eness Analysis
Go e nmen p og ams ypically bene i om economies o scale and ede al unding s abili y, while NGO p og ams
o en demons a e highe cos -e ec i eness pe pa icipan due o specialized ocus and olun ee le e age.
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Table 5 Cos -E ec i eness Compa ison (Pe Pa icipan )
P og am Type
A e age Cos
Success Ra e
Cos pe Success
SBA P og ams
$450
68%
$662
SCORE Men o ing
$125
72%
$174
WBC P og ams
$385
70%
$550
La ge NGOs
$280
65%
$431
Local NGOs
$220
58%
$379
No e: Success de ined as business ope a ing p o i ably a e 24 mon hs
7. Impac on Ca ee De elopmen
7.1. Leade ship De elopmen Ou comes
76% o Gen Z lea ne s conside con inuous lea ning c ucial o a success ul ca ee . Companies wi h comp ehensi e
employee aining p og ams ha e 218% highe income pe employee han companies wi hou o malized aining. This
da a highligh s he connec ion be ween inancial li e acy educa ion and b oade ca ee de elopmen ou comes.
7.1.1. En ep eneu ial Skill Building
Financial li e acy p og ams con ibu e o b oade en ep eneu ial skill de elopmen h ough
• S a egic hinking and planning capabili ies
• Risk assessmen and managemen skills
• Leade ship and eam managemen compe encies
• Inno a ion and p oblem-sol ing abili ies
7.1.2. Ne wo k De elopmen and Men o ship
Fou in i e o ganiza ions (80%) ha o e men o ship p og ams say i helps hem add ess alen sho ages. The
men o ship componen s o inancial li e acy p og ams c ea e aluable p o essional ne wo ks ha ex end beyond he
ini ial p og am pe iod.
