Determinants of Successful Financial Management among Micro Entrepreneur in Malaysia

Many reports had showed that micro enterprise always dealing with a lot of challenges as they are not skilled and experienced even been guided with numerous governments' bodies. In Malaysia, there is almost 99% of business entity is micro enterprise. However, their existence alone does not constitute any growth or development to the Malaysian economy. For that reason, there is an urgency to endow specific way of financial management that may leads to the success of their business. Hence, this study aims to investigate the factors of successful financial management amongst Malaysian micro entrepreneurs. The term “success” is defined with both traditional criteria such as profit and growth by looking at the possible contributing factors which are experience, qualification and business plan. In this study, successful financial management refers to the successful micro enterprise in Malaysia because it is interconnected. By focusing on previous studies, this paper will review the challenges of micro enterprise, summary of successful financial management and provide recommendations for future research.