Financial Management Practices of Selected Sari-Sari Stores in San Isidro, Nueva Ecija


  • Charles Francisco General de Jesus College
  • Allysa Salcedo General de Jesus College
  • Isabella Louise Lazaro General de Jesus College
  • Bryan Bondoc General de Jesus College
  • Rhea Mae Mangaliman General de Jesus College
  • Ivy Gail Javier General de Jesus College


Financial analysis, Sari-Sari stores


Small and medium-sized businesses (SMEs) are crucial to our economy because they help generate revenue, wealth, and jobs. This study aimed to examine the financial management practices of selected Sari-Sari stores in San Isidro, N.E., and explore how these practices can be improved to increase the chances of success. The study aimed to contribute to the existing body of knowledge on the financial management practices of small businesses in the Philippines. The study used a descriptive research design to examine the financial management practices of Sari-Sari stores in San Isidro, Nueva Ecija. This design enabled the researchers to describe and analyze the financial management practices of selected Sari-Sari stores. The participants of this study were the selected Sari-Sari store owners in San Isidro, N.E. A purposive and convenience sampling technique was used to select participants who met the criteria of owning and operating a Sari-Sari store. The data was collected through semi-structured interviews with open-ended questions. The interview questions were designed to elicit information on the financial management practices of the participants, such as their record-keeping methods, sources of financing, and strategies for managing their cash flows. Sari-sari store owners faced different challenges in their business, such as paying monthly and daily bills and expenses, high competition, and dealing with expired products. Respondents allocate a percentage of their daily sales for future investment, bill payments, or emergencies and price their products competitively to address this. Bookkeeping is widely used, and cost-cutting measures such as buying only necessary items and managing product expiration are employed. The majority of the respondents have been running their business for 1-10 years, and the most common encountered challenges in financial management practices are that they have to pay their monthly and daily bills and expenses and that they count the total sale of the day after they close and take a percentage of it to save it for themselves, for future investment, to pay the bills or for emergency cases. The majority of the respondents are not loyal to their suppliers. The recommendation for aspiring entrepreneurs looking to operate their sari-sari stores is; the importance of patience and perseverance, comprehensive business planning, purchasing cheaper but quality products, and effective financial management.