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An evaluation of financial management skill of owner-managers in the development of small businessess

Author: 
Dr. Akande, O. O.
Subject Area: 
Social Sciences and Humanities
Abstract: 

Financial Management being the main core of any business organization has roles to play most importantly in small businesses. Testing the influence of financial management on small businesses operational activities in Iwo Local government of osun state Nigeria is expected to give insight into the economy and provide measuring guide to business performance .This study evaluate effect of financial management practices characteristics on small business development and. The study was carried out in Iwo local government, Osun state of Nigeria with Sixty (60) Questionnaires administered and distributed to small businesses owners in Iwo local government Area. Fifty (50) Questionnaires were found useful for the purpose of the study. Data collected was analyzed using frequency table and percentage analysis while the non-parametric statistical test Chi- square was used to test the formulated hypothesis to evaluate the influence of financial management skill of owner-managers on the development of small businesses. The analysis of findings show that small businesses must keep proper books of accounts for the preparation of financial statements which is an efficient financial management practices for small businesses to develop. The results of the tested hypothesis showed that there is significant relationship between financial management practices and development of small businesses. The paper recommends that Small business owners should make sure that accurate and up-to-date proper books of accounts are prepared and kept under the supervision of responsible officers in the organization and Government should try as much as possible to organize programmes for the small business owner, so as to improve their managerial skill.

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