ASSESSMENT OF BUSINESS PRACTICES AND FINANCIAL PERFORMANCEOF SMALL BUSINESSES IN SOUTH-SOUTH GEOPOLITICAL ZONE, NIGERIA

Abstract

Small businesses constitute the backbone of Nigeria’s economy, especially within the South-South geopolitical zone, a region characterized by significant commercial activities and local entrepreneurship. This empirical study investigates the relationship between business practices and financial performance among small enterprises in the South-South zone. The study utilized quantitative survey methods to collect data from 379 small business owners across Rivers, Delta, Akwa Ibom, Bayelsa, Cross River, and Edo states. Findings revealed that effective business planning, financial record-keeping, marketing strategies, customer relations, and ethical practices significantly influence financial performance indicators such as profitability, liquidity, and growth. Results suggest that enhancing structured business practices improves financial outcomes. The study concludes with recommendations for policy adjustments, capacity building, and improved access to financial services.