ABSTRACT
One of the internal problems in MSMEs is the problem of accountability due to poor management and financial administration systems. The poor accountability of MSMEs is partly due to the absence of the separation of ownership between MSME owners and UMKM entities. A poor presentation of MSME accountability will make it difficult for the bank or financial intermediary to identify complete information and in return, it will be difficult for these MSMEs to access capital and investment from outside parties. Information technology can provide answers to the difficulties that have entered by these MSMEs. This research tries to answer the question about how the financial reporting has been done by the MSME so far? What is the use of accounting application software in this community? What difficulties are faced by MSME in using accounting application software?
