Siti Nurulaini Azmi, Muhammad Khalique, Azianis Bt Mohd Noor, Mohd Rafi bin Yaacob, Khushbakht Hina
In contemporary business environment only those small business can survive and recover their business performance having innovation and learning capabilities. The main purpose of the research was to examine the difficulties faced by small businesses during flood disasters in developing countries, specifically Malaysia. In 2016, a survey of small businesses in Kelantan was conducted to identify the challenges that small businesses face when dealing with natural disasters. 380 self-administered questionnaires were collected among small businesses in Kelantan that were affected by the flood disaster, using purposive sampling, which is the sample was collected from a specific target group. Based on theoretical foundation one research hypothesis was established. The findings of this study show that natural disasters have a significant impact on small businesses in Malaysia, with flooding being the most common natural disaster. This is study provides policy guideline for the policymakers, entreprenurer and researchers.