ABSTRACTThe SME sector in every economy is believed to be the fastest growing sector especially in developing countries like Ghana and compliments the efforts of the larger industries. The relevance of bookkeeping as well as record keeping to how well a business does is strongly related. Unfortunately, not all business …
See more
ABSTRACTThe SME sector in every economy is believed to be the fastest growing sector especially in developing countries like Ghana and compliments the efforts of the larger industries. The relevance of bookkeeping as well as record keeping to how well a business does is strongly related. Unfortunately, not all business especially Small and Medium Scale Enterprises are practicing appropriate book keeping which to a large extent affects, profit calculation, accurate growth determination, and other critical assessments that can best be determined only by accurate record keeping. This study seeks to research into the case of the Sunyani Municipality. The study employed a quantitative design using a cross sectional survey approach. The survey attempts to describe characteristics of subjects or phenomena, opinions, attitudes, preferences and perceptions of persons of interest to the researcher. The target population of this study was the SMEs in the Sunyani Municipality. Structured questionnaires were used to gather data. From the data gathered, 63.7% do not have personal knowledge in book keeping one good alternative would have been to get the services of an accountant or get trained themselves. Also, it is clear that not knowing the impact of book keeping on growth, profitability, and increase in customers and on the firm as a whole itself was found to have been associated with non- adherence to book keeping. The absence of complete record keeping revealed difficulty in measuring financial performance that (62.9%). In all, most SME's do not practice complete bookkeeping in the Sunyani Municipality. Also, most SME’s do not have recorded data in determining growth, profitability and good financial performance of their businesses. This therefore leads to most of the businesses no reaping the benefits of complete book keeping.
See less
