Implementation of financial reports based on SAK EMKM at the convection Tembung

Purpose: This study aims to analyze the implementation of Financial Accounting Standards for Micro, Small, and Medium Entities (SAK EMKM) at Sahabat Convection Business located in Pasar IV Tembung and to identify the factors that support and hinder its implementation. Methodology/approach: This study chose a qualitative descriptive approach using the case study method. Data was generated from direct interviews with business owners, observations of financial recording processes, and documentation of transaction evidence. Findings: The results of the study show that the level of conformity of SAK EMKM implementation at Sahabat Convection Business reached 68%, which is categorized as fairly compliant with the applicable standards. The remaining 32% was not included in the financial statements. Practical and Theoritical contribution/Originality: There are inhibiting factors in preparing financial statements, such as a lack of accounting knowledge and understanding, the absence of dedicated administrative, and financial records that are still simple. The solutions to these inhibiting factors include participating in simple accounting training and education, using MSME bookkeeping applications. Research Limitation: This study recommends increasing socialization, training, and assistance for MSME actors, as well as implementing simple bookkeeping technology so that the quality of financial statements becomes more compliant with applicable accounting standards.