Lack of quality financial reporting systems and its impact on the growth of small and medium scale enterprises (SMEs) in Zimbabwe

Abstract

The importance of quality accounting records cannot be overlooked. Complete and accurate record keeping enables the business to identify and take count of its assets, liabilities, income and expenses. The purpose of the study was to investigate the impact of lack of quality financial reporting systems on the growth of small and medium scale enterprises (SMES) in Zimbabwe. The main findings of this concept paper revealed that the smaller the business the less the owners see the importance of keeping quality accounting records. It also emerged from literature reviewed that there is a strong relationship between performance and accounting records.