Micro Business Owners' Bookkeeping Knowledge and Practices

Micro businesses serve as vital drivers of local economies, providing employment, generating income, and contributing to community development. Their sustainability, however, largely depends on proper financial management, with bookkeeping playing a crucial role in ensuring efficiency and long-term growth. This study investigates the bookkeeping knowledge and practices of micro business owners in Jordan, Guimaras, Philippines, during the year 2024. Using a descriptive-correlational research design, the study involved 120 micro business owners selected through purposive sampling. A researcher-made questionnaire served as the primary data collection tool. Data were analyzed using statistical methods such as frequency count, Mann-Whitney U test, Kruskal-Wallis H test, and Spearman's Rho. Findings revealed that most microbusiness owners are aged 30 years old and below, predominantly female, and college graduates. Monthly income levels broadly range from ₱10,001 to ₱20,000, with the majority operating grocery businesses for 1 to 2 years. Results revealed that 41.67% of respondents demonstrated high bookkeeping knowledge, 30% very high, and 28.34% exhibited low to moderate knowledge. Bookkeeping practices were generally excellent, with 99.2% keeping business and personal assets separate and 95.8% conducting regular reviews of credit accounts. Age (H = 8.004, p = .046), educational attainment (H = 12.917, p = .005), and monthly income (H = 22.397, p = .000) significantly influenced bookkeeping knowledge, whereas only educational attainment (χ² = 8.291, p = .040) significantly affected bookkeeping practices. A moderate positive correlation was found between bookkeeping knowledge and practices (r = .328, p = .000), indicating that higher knowledge enhances effective bookkeeping behavior. The study underscores the importance of education and training in improving bookkeeping efficiency. Recommendations include conducting workshops and seminars on bookkeeping, integrating financial management programs for micro businesses, and fostering peer mentoring among business owners to promote knowledge sharing and sustainable practices.