This study was carried out to investigate on the impact of budgeting on the performance of small scale businesses. It aimed at achieving the following objectives, to establish the impact of budgeting on organization performance to identify indicators of perfmmance in organization and to establish the relationship between budgeting and performance of organization. The study was carried out to establish the reasons why many organizations have continued to perform poorly despite management effmis to improve performance through training, recruitment, motivation, monitoring and evaluation. This was evidenced by low revenue collection and overspending compare to planned ones, overdependence of grants from the government, low morale and commitment of employees, claims and rumors from customers in respect to poor services offered to them like corruption and bribes. To collect the relevant data the researcher used questionnaires, interview and library research on relevant material. Data was analyzed by the use of descriptive methods such as percentage distribution and frequency distribution.
