ABSTRACT 

The study was carried out as required for award of a degree of a bachelor of business administration of Kampala International University. The main objectives of the study were to make an· assessment of micro finance loans on the performance of small seized business enterprises, to examine how payment loan schedule affect perfom1ances of small scale business in Lira Municipality. To find out the effect of loan recovery on the small scale business in Lira Municipality, To asses the extent to which the amount granted in form of loans affect perfonnance of small size business in Lira Municipality, To examine how collateral secmity affect performance of small size business in Lira Secondary data was got from already existing literature, for example micro finance loan report and publication about release variables .the collected data from existing literature was analyzed for easy interpretation. The overall finding from the analysis were that the micro finance loans has Avery little impact on the perfonnance of small scale business However such perfonnance can be improved given that tax