Abstract
The article examines the impact of financial literacy and behavioral factors on the efficiency of financial resource management in small and medium-sized enterprises using the Turkestan region as a case study. The aim of the study is to empirically assess the influence of financial literacy and cognitive biases on financial decision-making and resource management efficiency. The study is based on a survey of 316 entrepreneurs, and the data were analyzed using correlation and regression methods. The results reveal a strong positive relationship between financial literacy and resource management efficiency, while behavioral biases negatively affect the rationality of financial decisions. Improving financial literacy and reducing the negative impact of behavioral factors contribute to strengthening the financial sustainability of small businesses.