Financial Literacy has been identified as a one of the key competencies required for the establishing, management and thriving of SMEs. However, the exact effect they have on the performance of SMEs has not been fully established by the available literature. This paper attempts to review the relationship between financial literacy of owner manager and firm performance of SMEs. Accordingly, the paper investigates the concepts, theories and previous research findings in relation to financial literacy of Owner Manager and firm performance of SMEs. Through the review on the available literature, it was revealed that the generally accepted relationship between financial literacy of Owner Manager and firm performance has not been found resulting in future research requirements.
