ST LAWRENCE UNIVERSITY

NAME: TAVIAN RODNEY TAMALE REG : BABA/07/004 FINANCIAL ANALYSIS OF SMALL & MEDIUM SIZE ENTERPRISES A STUDY OF UGANDA BATTERIES LTD INDUSTRIAL AREA, KAMPALA DISTRICT

A list of concepts Socio-economic background Professionals, Lease/Rent equipment, Issue stock Types of ratios Equity ratios, Liquidity ratios, Efficiency ratios, Profitability ratios and Investment ratios Importance Profitability, financial ratios, past and future performance Solutions Financial analysts, financial systems, size of the company, computerization
CONCEPTUAL FRAMEWORK

Socio-economic Background Used by professionals Operations of the business Purchase of certain materials Acquire or lease machinery and equipment Issue stock Make decisions Types of financial ratios Equity ratios Liquidity ratios Efficiency ratios Profitability ratios Investment ratios Importance Financial ratios of solvency Profit accounting Past performance Future performance

Weaknesses Poor managers Invalid ratio use Difficult to use and understand Unreliable Not good for small enterprises Solutions Usage according to size Computerization Training analysts Adopt simpler financial systems

Description of the conceptual framework The conceptual framework is made up of five (5) themes. They are socio-economic background, types of ratios, importance, weaknesses and solutions. The socio-economic background has got professionals, business operations, materials and equipments for use. The company then adopts various ratios to analyze its operations such as equity, liquidity, efficiency, profitability and investment. These ratios are important for the company in evaluating previous performances, profitability and the future prospects of the company. Weaknesses are bound to occur such as poor management, unreliability, invalidity and difficulty in use. However, weaknesses tend to have solutions and they are training financial analysts, computerization and usage according to size of the company and adopting simpler financial systems.

Approach table Approach Quantitative Qualitative Sample selection techniques Stratified Purposive Simple random Type of sample 10 Managers 10 Accountants 20 Employees 40 Respondents Data collection Interviews Questionnaires Focus group