PENGARUH KINERJA FINANSIAL UMKM TERHADAP PENGEMBANGAN EKONOMI LOKAL DI KABUPATEN SIDOARJO

Abstract

The business in Indonesia cannot be separated from the role of Micro, Small and Medium Enterprises (MSMEs) in the economy of a region. This study describes the assessment in a business unit's financial performance using NPM and ROE analysis methods The total population in this study was 448 business units that have been registered at the Department of Cooperatives and SMEs in Sidoarjo Regency and obtained a sample of 82 business units with a sampling technique that is simple random sampling. The results of hypothesis testing show that the assessment and picture of financial performance influences the development of the local economy in Sidoarjo Regency.