Purpose – This study aims to examine the role of business planning as a determining factor influencing the sustainability and profitability of small businesses in Palembang City. Design/Methodology/Approach – This study employed a quantitative research approach. Data were collected from 100 small business owners in Palembang City using a Likert-scale questionnaire that had passed validity and reliability testing. The collected data were analyzed using multiple linear regression to examine the influence of business planning variables on business sustainability and profitability. Respondent characteristics were also analyzed to describe the profile and background of small business owners. Findings – The findings indicate that business planning plays an important role in supporting the sustainability and profitability of small businesses. The study reveals that structured and measurable business planning contributes to strengthening business competitiveness and improving performance. The findings also show that small business owners in Palembang have diverse business backgrounds and experiences, highlighting the need for targeted education and mentoring programs related to business planning. Originality/Value – This study contributes to small business and entrepreneurship literature by integrating sustainability and profitability as outcomes within a single business planning influence model. The research provides empirical evidence from the context of a developing urban area, where studies examining the combined impact of business planning on these two dimensions remain limited. Practically, the findings suggest that measurable business planning frameworks should be incorporated into MSME development programs and used as a foundation for regional policies aimed at strengthening small business competitiveness.