Abstract:
The study assessed the effects of financial planning on business performance among small
businesses in Narok Town. The target population was 70 small business traders in Narok Town
where 48 businesses responded. The study assessed: the effects of asset management on business
performance of SMEs in Narok Town; determine how risk management affects business
performance of SMEs in Narok Town; establish how retirement planning affects business
performance of SMEs in Narok Town. The study adopted the life-cycle finance theory and credit
rationing theory. Stratified random sampling was utilized in selecting the respondents for the study.
Primary data was collected from the study respondents using questionnaires. Data was analyzed
descriptively and presented through figures, tables, percentages and tabulation to show differences
in frequencies. The study found out that asset management, risk management and retirement
planning which are components of financial planning affects business profitability.
