Empowering Grassroots Entrepreneurs: An Assessment of the Barangay Micro Business Enterprise Act (RA 9178)

Abstract

This study aimed to evaluate the impact of the RA9178 law on the growth of businesses among registered micro entrepreneurs in Cauayan City. It employed a descriptive-quantitative approach with pre- and post-test constructs, measuring capital, return on investment, profit margin, value, and assets prior to registration, and after registration, measuring business growth metrics post BMBE registration. There are nineteen registered BMBEs at the time of the survey, all under sole proprietorships; these were purposely sampled into the study. Data was collected by a self-designed questionnaire, and the analysis was done using SPSS for frequency, percentage, mean and paired sample t-test. All economic metrics increased significantly, with an average increment of 1.45 post-registration. Furthermore, the results revealed that the respondents statistically significantly improved performance post registering as BMBE. Therefore, the null hypothesis was rejected. In addition, all respondents (100%) indicated that the BMBE law has enabled positive changes in their business growth. There were notable barriers to the law's implementation, such as limited joint effort of the implementing bodies, no financing system established to support micro enterprises, and the absence of training opportunities designed for the recipients. When well-implemented, the study claims that the BMBE Law has a significant impact on the growth of microenterprises. It goes on to suggest improving coordination between agencies, providing specialized training and funding, raising awareness about the programs, and further optimizing its impact.