Financial management is a critical factor influencing the profitability and growth of cafés, particularly in small communities such as Naval, Biliran. Many café owners face challenges in implementing effective financial strategies due to limited financial literacy and access to resources. This study utilized a descriptive survey method, employing structured questionnaires distributed to café owners in Naval, Biliran, Philippines. The survey collected data on the demographic profiles of respondents – including age, gender, civil status, educational attainment, and years of service – as well as the financial management strategies employed, such as budgeting, cash flow planning, and investment approaches and perceived impact on profitability and growth, like pricing strategies, debt management, capital investment, and financial forecasting. Data were analyzed using descriptive to determine the financial practices and business outcomes. Findings revealed that most café owners were aged 22–45, predominantly female, single, bachelor’s degree and had operated their businesses for 1–3 years. Key financial strategies included systematic budgeting in saving money, cash flow plan as essential to financial management, financial stability and identifying potential financial problem, and strategies for developing a budget for financial strategy. Furthermore, it impacts the profitability and growth in terms of pricing strategies in implementing rewards, offering freebies and giveaways, Debt management for properly managing debt, capital investment in marketing campaign, financial and forecasting for a competitive advantage, these practices were significantly associated with increased profitability, improved liquidity, and business expansion. The study concludes that adopting structured financial management strategies contributes positively to café profitability and growth. It recommends that café owners utilize digital tools, set clear financial goals, and pursue ongoing financial education to enhance business performance in Naval, Biliran.

Keywords: financial planning, competitive advantage, budgeting, cash flow, strategies, café, Naval, Biliran