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ABSTRACT
This study explores the impact of cloud based accounting software in the financial accounting system of small and medium-sized enterprises (SMEs) in the manufacturing sector. Utilizing a sample of 100 businesses selected through stratified random sampling, data was collected via structured questionnaires and analyzed using SPSS 23 and multiple linear regression. The findings reveal a significant relationship between the adoption of cloud-based accounting software and financial efficiency, with key drivers and barriers influencing the adoption process identified. Recommendations include promoting cloud adoption, addressing adoption barriers, maximizing software effectiveness, and continuous monitoring and evaluation. Suggestions for further research encompass industryspecific analyses, longitudinal studies, comparative analyses, and qualitative research. This study contributes empirical evidence supporting the benefits of cloud technology adoption and offers practical implications for SMEs, policymakers, and practitioners involved in financial management.