This study aims to determine the effect of business capital, labor, and product innovation on income improvement among purun mat craftsmen in Pedamaran District, Ogan Komering Ilir Regency, from an Islamic economic perspective. This research used a quantitative method. Data were collected through questionnaires distributed to 96 respondents. The sampling technique used was the Lemeshow technique. Data analysis was conducted using multiple linear regression analysis with the assistance of IBM SPSS Statistics.The results of the t-test showed that the business capital variable had a positive and significant effect on income improvement, labor had a positive and significant effect on income improvement, and product innovation had a positive and significant effect on income improvement. The simultaneous test results (F-test) indicated that business capital, labor, and product innovation simultaneously had a significant effect on the income improvement of purun mat craftsmen in Pedamaran District, Ogan Komering Ilir Regency. From the perspective of Islamic economics, business capital, labor, and product innovation are considered part of effort, creativity, and business development in accordance with Islamic principles to improve community welfare. Keywords: Business Capital, Labor, Product Innovation, Income Improvement.
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