Small and medium scale enterprises are gaining widespread acceptance as viable drivers of economic growth. However, several of these enterprises demise without fulfilling expectations due to poor management arising from weak accounting structure. It was aimed to examine the impact of sound accounting system on corporate performance of small and medium scale enterprises. This was done by a survey carried out through questionnaire and analysed using the F-Statistic (ANOVA). Results showed that adoption of sound accounting system enhances performance of small and medium scale businesses. It was recommended that accounting professionals should customize accounting system and audits to the need and capacity of these categories of businesses, provide accountancy services or a fee, and adherence of small business operators to internal controls.