Implementation of Simple Financial Statement Application in Supporting Financial Management of Toko Sumber Indah

Abstract

Micro, Small, and Medium Enterprises (MSMEs) play a crucial role in the Indonesian economy. However, a significant challenge for many MSMEs is the lack of proper financial management, particularly the preparation of financial reports according to accounting standards. This study aims to analyze the implementation of simple financial statements to support financial management at Toko Sumber Indah, a grocery store in Tanjungpinang, Riau Islands. The research method used is a qualitative approach with a case study design. Data were collected through direct interviews, observation, financial document analysis, and a structured mentoring process. The mentoring activities included initial identification of problems and needs, planning, implementation of basic financial management, and evaluation of results. The results showed that before mentoring, Toko Sumber Indah only conducted simple and unsystematic manual recording using notebooks and Excel, without producing formal financial reports. After receiving mentoring, the business owner was able to prepare a simple income statement and improve the neatness and regularity of recording financial transactions. The financial statements prepared include calculation of net profit margin and gross profit, although the business's financial performance indicators (sales, gross profit, net profit, and net margin) declined during the assessment period due to post-holiday seasonality, not due to any failure in the implementation of financial reporting. The conclusion of this study indicates that the implementation of simple financial statements helps MSME owners understand their business's financial health, supports decision-making for business development, and has the potential to be used as a document for applying for bank credit. The findings confirm that financial mentoring is effective in improving the financial literacy and management of MSMEs.