- Abdiwahab Mohamed1*, Ahmed Mohamoud 2, Mustafe Farah 3
- 1Beder International University, Hargeisa, Somaliland, 2Amoud University, Hargeisa, Somaliland, 3Amoud University, Hargeisa, Somaliland
- GAS Journal of Economics and Business Management (GASJEBM)
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Abstract: The purpose of
this research was focused on the role of financial management in small and
medium enterprises in Ibrahim Ma’lin Harun District in Hargeisa, Somaliland.
It was determining the role of financial management in small business and
medium enterprises, and capital acquisition, and financial management
decision, and effect of financial management on profitability. This
study adopted a descriptive survey design with a population study of 65
companies out of which a sample size of 49 was chosen. The study used simple
random sampling design to choose a sample and questionnaires were distributed
to the selected respondents from the companies. The analytical process
entailed using the Statistical Package for the Social Sciences (SPSS). The
study indicates that financial management strategies are very critical in all
business enterprises irrespective of the size and location. Finally,
according to the data, the study concluded that financial management
increases the overall value of the firms and organization by providing
economic stability. |
Keywords: Financial Management, Small And
Medium-Sized Enterprises, Profitability, Financial Literacy, Financial
Management Skills
