The Effect of Financial Literacy and Financial Management on SME Business Performance in Gowa Regency

Authors

  • Nurul Ilmi Management Study Program, Faculty of Economics and Business, Universitas Muhammadiyah Makassar, Indonesia
  • Abdul Muttalib
  • A. Tenri Syahriani

DOI:

https://doi.org/10.55227/ijerfa.v2i3.81

Abstract

The purpose of this study is a type of quantitative research with the aim of determining the effect of financial literacy and financial management on the business performance of SMEs in Gowa Regency. This sample was taken as many as 51 respondents from the number of SMEs without limiting those registered in Disperindag Gowa. The type of data used in this study is quantitative data obtained from questionnaires distributed to SMEs and related to the problem under study. Data collection is carried out by observation and distribution of questionnaires. In this study, the data source used in data collection is primary data. The research instrument used in this study used the Likert scale. Based on the results of data research using the Statistical Package for the Social Science (SPSS) version 29 regarding the influence of financial literacy and financial management on SME business performance in Gowa Regency which has been discussed from the previous chapter, the author draws an important conclusion, namely financial literacy and financial management have a positive and significant effect on SME business performance.

References

Afriani, S. W. D., Isnurhadi, I., &; Yuliani, Y. (2023). Evidence of the Role of Financial Behavior as a Mediator in Financial Literacy, Risk Tolerance and Investment Decisions. Managerial Journal, 10(03), 480-498.

Alamsyah, M. F. (2020, July). The influence of financial literacy and the quality of financial management on financial performance in furniture SMEs in Gorontalo City. In Economic Forum (Vol. 22, No. 2, pp. 245-255).

Ardiana, I. D. K. R., Brahmayanti, I. A., &; Subaedi, S. (2010). The competence of SME human resources and their influence on the performance of SMEs in Surabaya. Journal of management and Entrepreneurship, 12(1), 42-55.

Amaliyah, R., &; Witiastuti, R. S. (2015). Analysis of factors affecting the level of financial literacy among MSMEs in Tegal City. Management Analysis Journal, 4(3).

Bire, A. R., Sauw, H. M., &; Maria, M. (2019). The effect of financial literacy towards financial inclusion through financial training. International journal of social sciences and humanities, 3(1), 186-192.

Djou, L. G. (2019). Analysis of the influence of financial literacy, financial attitudes and personality on the financial management behavior of MSMEs in Ende Regency. Journal of Magisma, 7(2), 1-12.

Dwitiya Utami &; Ida Bagus Ketut Surya. Ni Kadek. 2021. The influence of Organizational Culture on Employee Performance with Intrinsic Motivation as A Mediating Variable at Non-Permanent Government Employee. AJHSSR Volume 5 Issue 1

Fauziyanti, W., &; Ernawati, F. Y. (2021). Analysis of financial literacy, cake inclusion and business performance of SMEs Kopeng flower farmers. Journal of Capital: Economic Policy, Management and Accounting, 3(1), 185-194.

Haekal, F. (2021). The Effect of Financial Literacy on MSME Financial Management in Palopo City (Doctoral dissertation, University of Muhammadiyah Palopo)

Hasan, S., Elpisah, E., Sabtohadi, J., Nurwahidah, M., Abdullah, A., &; Fachrurazi, F. (2022). Financial management. Widina Publishers.

Hili, Padli, Farida Ariani Hehanussa, and Wa Ode Dewi. "The Effect of Financial Literacy and Financial Management on Business Performance: A Study on MSMEs in Batu Merah Village, Sirimau District, Ambon

City." HYPOTHESIS-Journal of the Social Sciences 17.1 (2023): 1-13.

Hijir, P. S. (2022). The influence of financial literacy on financial behavior with financial technology (fintech) as an intervening variable in SMEs in Jambi city. Journal of Applied Management and Finance, 11(01), 147-156.

Jaya, A., Kuswandi, S., Prasetyandari, C. W., Baidlowi, I., Mardiana, M., Ardana, Y., ... & Muchsidin, M. (2023). Financial Management. PT. Global Technology Executive.

Kasenda, B. S., &; Wijayangka, C. (2019). The effect of financial literacy on MSME performance. Almana: Journal of Management and Business, 3(1), 153-160.

Kotamobagu, B. K. (2022). The influence of financial literacy and financial attitudes on family financial management behavior in meeting children's educational needs in Gogagoman Village, Kotamobagu District.

Mufid, I. A., Sahabuddin, R., Anwar, Burhanuddin, &; Ruma, Z. (2023). The influence of financial literacy of small business actors on business financial performance in Makassar City. Journal of Management, Business, and Economic Sciences, 1(3), 149–160. https://malaqbipublisher.com/index.php/JIMBE

Rebin, S. (2020). Book: Fundamentals of Financial Management.

Rumain, I., Ronny, M., &; Budi, W. (2021). The influence of financial literacy and financial management on financial performance in MSMEs in Malang City. E – Journal of Management Research, 66–80. www.fe.unisma.ac.id

Santiara, I. M., &; Sinarwati, N. K. (2023). The influence of financial literacy on MSME financial management in Tejakula District. CAPITAL: Journal of Economics and Management, 6(2), 349. https://doi.org/10.25273/capital.v6i2.14514

SEPTIANI, Risa Nadya; WURYANI, Eni. The influence of financial literacy and financial inclusion on MSMEs in Sidoarjo. E-Journal of Management Udayana University, 2020, 9.8: 3214.

Silviana, V., Dessy, T. R., &; Emilia, D. P. (2021). The influence of financial literacy on the financial management behavior of students of the Economic Education Study Program. Journal of Economic Education.

Syahputra, W. T. W. (2022). The influence of financial literacy and financial management on SME business performance in Malang City (doctoral dissertation, University of Muhammadiyah Malang).

Ulwiya, Khoirun Iswatun. The influence of financial literacy and financial planning on the performance of SMEs in East Java. Diss. STIE Perbanas Surabaya, 2019.

Banking Law Number 10 of 1998 concerning Savings and Loans.

Law No. 20 of 2008, Small and Medium Enterprises (SMEs)

Law Number 20 of 2008 concerning Micro, Small and Medium Enterprises (SMEs)

Untsa, F. C. (2021). The Effect of Financial Literacy and Inclusion on Financial Management in MSME Actors in Lowokwaru District, Malang City (Food and Beverage Sector) (Doctoral dissertation, University of Muhammadiyah Malang).

Yanti, W. I. P. (2019). The effect of financial inclusion and financial literacy on the performance of MSMEs in North Moyo District. Journal of Management and Business, 2(1).

Yulianto, M. A., &; Rita, M. R. (2023). Mediating financial management behavior in the influence of fintech and financial literacy on business performance. EQUITY (Journal of Economics and Finance), 7(2), 212–232. https://doi.org/10.24034/j25485024.y2023.v7.i2.526

Yusuf, M. A. M. (2020). Pengaruh Matearislme, FIinancial Self-Efficacy Dan Literasi Keuangan Terhadap Perilaku Pengelolaan Keuangan Usaha (Studi Pada UKM Tenun Troso Di Desa Troso) (Doctoral dissertation, UNISNU Jepara).

Downloads

Published

2024-03-30

How to Cite

Nurul Ilmi, Abdul Muttalib, & A. Tenri Syahriani. (2024). The Effect of Financial Literacy and Financial Management on SME Business Performance in Gowa Regency. International Journal of Economic Research and Financial Accounting, 2(3). https://doi.org/10.55227/ijerfa.v2i3.81

Issue

Section

Economics and Accounting