Assistance for MSMEs in Administrative and Financial Management to Increase Business Efficiency in the Percut Sei Tuan Region

Abstract

This community service activity aims to improve the capacity of Micro, Small, and Medium Enterprises (MSMEs) in the Percut Sei Tuan area to manage their administration and finances efficiently and professionally. The main challenges faced by MSMEs in this area are weak financial management and a lack of an orderly administration system. Many MSMEs still mix personal and business finances, lack adequate financial records, and lack an understanding of the importance of financial reports as a basis for decision-making. This activity was conducted through a participatory approach that included training, mentoring, and hands-on practice in preparing simple financial reports. The results of this activity demonstrated an increase in the ability of MSMEs to prepare financial records and understand basic financial management. The tangible impact of this activity is evident in increased business efficiency, ease of cash flow control, and MSME readiness to access financing from formal financial institutions.