Background of the Study Financial management is an activity concerned with the planning, raising, controlling and administering of funds used in the business" according to Guthman and Dougal. It is concerned with the procurement and utilization of funds in the proper manner. It's an essential management function for any small business and it is crucial to established business, however, many do not possess the skills and practices required to perform this function eflectively. According to Khan and Jain, "Finance is the art and science of managing money\". Maintaining a business can be seriously fulfilling but hugely challenging. Entrepreneurs face a huge number of demands on their time, adjusting the need to focus on and manage a scope of task while likewise figuring out how to look at the bigger picture. Financial management skills are critical in operating a business in South Africa (Mamabolo, Kerrin 8t Kele 201729; Roodt 2005:18) and are needed to increase the survival rates of startup businesses (Oxford, Herrington 81 Wood 20043). However, research shows that many small business owners do not have the financial skills they require to effectively