Abstract

The study aimed to examine the impact of accounts receivable management on the financial
performance of Savings and Credit Cooperative Societies (SACCOs). Despite their significant
contribution to a country's economic development, SACCOs still face financial challenges, with
26% of loans considered bad debts and 60% of them failing within a year. A correlational
research design was adopted, with a sample size of 145 and a questionnaire used for data
collection. A regression analysis using SPSS was used to analyze the data. The results showed
that accounts receivable management significantly affects financial performance, suggesting
that innovative programs can increase SACCOs' financial performance by.494 units. The study
recommends the introduction of innovative programs to improve SACCOs' financial
performance, benefiting government policy makers, researchers, and management teams. The
findings will be beneficial to government policy makers, researchers, and Sheema Municipality
management teams.