Fast in Humanities
Vol. 1 No. 2 (2025): July

Potential Value of Ornamental Horticulture MSME Assets: A Financial Evaluation Approach

Rahmat Saleh (Universitas Ahmad Dahan)



Article Info

Publish Date
06 Jul 2025

Abstract

This study aims to assess the potential value of the ornamental plant sector through a financial evaluation approach, with a focus on micro, small, and medium enterprises (MSMEs) in Indonesia. The main objective of this study is to evaluate the financial feasibility of ornamental plant projects using key indicators such as Net Present Value (NPV), Internal Rate of Return (IRR), Payback Period (PP), and Benefit-Cost Ratio (BCR). This study uses a financial analysis method that utilises projected cash flow and operational cost data over a five-year period. The results show that the ornamental plant project has a positive NPV of IDR 196,798,211, an IRR of 59.4%, and a Payback Period of 1 year, 9 months, and 14 days. This analysis confirms that the ornamental plant project is financially feasible for investment, with a fast return on investment and a cost-benefit ratio that indicates high efficiency. In conclusion, this study makes an important contribution to the development of the ornamental plant sector, particularly in the context of MSMEs, and provides useful practical guidance for investment decision-makers in this industry.

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Journal Info

Abbrev

fh

Publisher

Subject

Humanities Economics, Econometrics & Finance Environmental Science Health Professions Languange, Linguistic, Communication & Media Law, Crime, Criminology & Criminal Justice

Description

Fast in Humanities (FH) is a peer-reviewed academic journal published by the Forum Akademisi dan Dosen Peneliti (FAST), focusing on the dynamic and interdisciplinary field of humanities. Published six times a year in January, March, May, July, September, and November, the journal provides a ...