The impact of record keeping on the performance of SMEs in Harare CBD.

Author

Tazviwana, Rutendo

Title

The impact of record keeping on the performance of SMEs in Harare CBD.

Abstract

The study investigated the impact of record keeping on the performance of SMEs in Harare CBD.
The objective of this study is to look at the challenges faced by SMEs in maintaining proper
records, importance and benefits of proper record keeping. The study used a questionnaire research
instrument. Data was collected through questionnaires from twenty-four (24) participants. The
questionnaires’ data was analyzed and presented using pie charts, tables and graphs. The findings
showed that half of the participants did not implement proper record keeping although they were
aware that it has an impact on the performance of SMEs and understand the importance and the
role of keeping records for their businesses. The findings from this study also show that SMEs
keep some books of accounts but lack of accounting expertise within their businesses as most of
them keep single entry system which will lead to incomplete records which results in insufficient
information for sound decision making. Most challenges faced by SMEs in the Harare CBD are as
a result of little or no use of accounting records in improving their performance. Most SMEs from
the study are not able to hire or train their staff because of lack of finance. The study also shows
that a lot of the SMEs do not have filing systems which can be used in the assessment of business
‘present and future performance. This study conveys information that contributes and helps SMEs
businesses owners to keep business records and to maintain accurate business records of transactions in order to improve business performance

Date

June 2021

Publisher

BUSE

Keywords

SMEs

Record keeping

Supervisor

N/A