Assessing the Influence of Financial Management Practices on Selected Small and Medium Scale Enterprises in Delta State Nigeria

Abstract

This study was carried out to assess the influence of
financial management practices on organizational
performance of selected small and medium scale
enterprises in Delta State, Nigeria. The researchers
used survey research design for the study and data were
gathered through the use of structured questionnaire.
The study revealed that there is positive and significant
relationship between financial management practices
on the profitability of small and medium scale
enterprises in Delta State. Based on these findings the
study concluded that financial management practices
has significant relationship on the profitability and
employees satisfaction of small and medium scale
enterprises in Delta State, Nigeria. Based on the
findings and conclusion of the study, the study therefore
recommends that small and medium scale enterprises
should implement risk management of strengthening the
firm’s management structure, and as a result, its
profitability. Small and medium scale business
enterprises in Delta State which have not been using
financial management practices should adopt it in their
operations. This will enhance the business overall
profitability. Small and medium business enterprises
should make it a priority to work towards the objective
of building strong fundamentals that may have a
positive effect on their businesses and this will enhance
employees satisfaction. Small and medium scale
business enterprises should focus on investment that
generate positive and net present value, this will add
value to an investor’s fund.