Thesis Abstract

**Abstract
** This thesis investigates the impact of financial reporting standards on the financial performance of small and medium-sized enterprises (SMEs). The study aims to analyze how the adoption and implementation of financial reporting standards influence the financial performance of SMEs. The research is motivated by the importance of financial reporting in providing reliable and transparent information for decision-making and assessing the financial health of businesses. The study utilizes a mixed-methods approach, combining quantitative analysis of financial data with qualitative insights from interviews with SME owners and financial experts. The research focuses on examining the relationship between financial reporting standards compliance and various indicators of financial performance, such as profitability, liquidity, and efficiency. The literature review section provides a comprehensive overview of existing research on financial reporting standards and their impact on SMEs. It covers topics such as the role of financial reporting in enhancing transparency, the challenges of implementing reporting standards in SMEs, and the potential benefits of compliance for financial performance. In the methodology section, the research design, data collection methods, and analytical techniques are outlined. The study includes a sample of SMEs from different industries, with financial data gathered from annual reports and financial statements. Interviews with SME owners and financial experts provide qualitative insights into the challenges and opportunities related to financial reporting standards compliance. The findings section presents the results of the analysis, highlighting the impact of financial reporting standards on the financial performance of SMEs. The study identifies factors that influence the level of compliance with reporting standards, as well as the potential benefits and challenges faced by SMEs in adopting these standards. In the conclusion and summary section, the key findings of the study are summarized, and implications for SMEs, policymakers, and researchers are discussed. The study contributes to the existing literature by providing empirical evidence on the impact of financial reporting standards on SMEs and offering recommendations for improving compliance and enhancing financial performance. Overall, this thesis adds to the understanding of the relationship between financial reporting standards and the financial performance of SMEs, highlighting the importance of transparent and reliable financial information for sustainable business growth and development.

Thesis Overview