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Owing to strong influence on economic and social issues, environmental impact attributed by SMEs activities is significant, not only for their magnitude but also in diversity. However SMEs are often unaware of their environmental impact and lack the resources to implement environmental initiatives and since their environmental footprints are small and localized them easily go unnoticed. Nevertheless the cumulative environmental impacts of countless SMEs constitute major environmental challenges to both regulators and stakeholders, (Kapolon, 2010).Environmental issues is now considered strategic and there has been debate all over the world concerning environmental issues (Green procurement).Many SMEs are reluctant to adopt green procurement strategies until they find financial benefit for themselves. Thus the general objective of the study was to determine if green procurement strategies had an effect on SMEs financial performance. The specific objectives were to determine the extent to which recycling of waste, use of non pollutants, waste management and use of energy saving products determined SMEs financial performance in Eldoret town, Kenya. The study area was Eldoret town, Kenya and the research design adopted was explanatory research design (bivariate analysis) because it compares two variables, the dependent variable being financial performance and independent variable is green procurement strategy. The research used stratified and simple random sampling and Hotels, restaurants, bars and supermarkets were the study units. There are more than 8175 SMEs in Eldoret town and the researcher used stratified sampling and targeted 80 respondents in supermarkets and 197 respondents in hotels/restaurant/bars. Data collection instruments used was five point likert scale questionnaire and structured interview.
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