The Impact of Financial Management on The Growth of Small-Scale Businesses in Upper Kauga, Mukono Central Division

Abstract

This study is an examination of the impact of financial management on the growth and development of small-scale businesses in Mukono Central Division. Specifically, the study examined the impact of financing options, the influence of record keeping and the relationship between cash flow management and the growth and development of small businesses. The study used a cross-sectional study design on a sample of 59 respondents. Data was collected by use of questionnaire Data was analysed both qualitatively and quantitatively. With the use of SPSS 17.0, quantitative data was analysed basing on mean and standard deviations. The data was analysed using Microsoft and development of small businesses. The study findings revealed that there is significant relationship between financial management on growth and development of small scale businesses in mukono central division indicated by correlation of r=0.766. Effective record keeping provides small businesses with data to assess their performance and identify areas of improvement mean 2.51 and standard deviation, 1251. The study recommends that; businessmen and women in small businesses should establish different financing options for the growth and development of their businesses. Businessmen and women need to carry out record keeping for the growth of small businesses. Businessmen and women should ensure cash flow management for the growth of small businesses.