Impact of Bookkeeping Methods on Financial Performance of SME’s
DOI:
https://doi.org/10.5281/zenodo.20380921Keywords:
bookkeeping methods, financial performance, accounting systems, micro and small enterprises (MSEs), financial transparency, profitabilityAbstract
This study examined the influence of bookkeeping practices on the financial performance of micro and small enterprises (MSEs) in Potrero, Malabon City. A descriptive research design was used, and data were collected from 150 MSE owners through a survey questionnaire. To evaluate financial performance in terms of profitability and company growth, the study reviewed bookkeeping practices, including the recording of income, expenses, credit sales, and credit purchases. Findings showed that most MSEs maintain proper bookkeeping and demonstrate generally positive financial performance. Results revealed a significant positive impact of bookkeeping practices on profitability and firm growth, highlighting bookkeeping as an essential tool for business sustainability.
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