Legal Awareness of Micro, Small, and Medium Enterprise (MSME) Owners Regarding the Importance of Business Entity Legality
DOI:
https://doi.org/10.24252/al-risalah.vi.68798Keywords:
Legal Awareness, MSMEs, Business LegalityAbstract
Micro, Small, and Medium Enterprises (MSMEs) play a vital role in supporting national economic growth. However, many MSME actors still operate without adequate business legal status. This study aims to analyze the level of legal awareness among MSME actors regarding the importance of business legality in Majasari District, Pandeglang Regency. The research employed an empirical legal method with a socio-juridical approach. Data were collected through interviews, field observations, and library research and were analyzed qualitatively. The findings reveal that the legal awareness of MSME actors remains relatively low. Of the 1,247 registered MSMEs, only 38.3% possessed business legality, while 31.9% had obtained a Business Identification Number. The low level of legal awareness is influenced by limited legal knowledge, inadequate government outreach, economic constraints, low digital literacy, and prevailing legal culture. Therefore, strengthening legal outreach programs, licensing assistance, and digital literacy initiatives is essential to enhance legal compliance among MSME actors.
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