ABSTRACT The study was carried out to ascertain the Perception of Employers and Employees on Business Education Graduates in Setting and Managing Small Scale Businesses in Kaduna State, Nigeria. In furtherance of this quest, four specific objectives, four research questions and four Null hypotheses were raised. One of the objectives was to assess the views of employers and employees on the capability of business education graduates in managing small scale businesses in Kaduna State. Similarly, the associated research questions and null hypothesis were: what are the views of employers and employees on the capability of business education graduates in setting and managing small scale businesses in Kaduna State and there is no significant difference between the views of employers and employees on the capability of business education graduates in setting and managing small scale businesses in Kaduna State respectively. Survey design was adopted for the study. The population of the small scale businesses in Kaduna State stood at 650 and the sample size was 390. Stratified and simple random sampling techniques were used for selecting the samples. A questionnaire was used to collect data from the respondents. The data collected were analysed using frequency distribution, mean and percentages especially for bio data and research questions. Independent t-test and paired sampled t-test were used to test the four null hypotheses at 0.05 level of significance. The findings included among others: that there was no significant difference in the views of employers and employees on the capability of business education graduates in setting and managing small scale businesses in Kaduna state. There was significant difference between employees and employers perception on knowledge and skill required by business education graduates in setting and managing small scale businesses. The study concluded that the greatest contribution of business education graduates in managing small scale business is assisting the employers in setting up their businesses and so enables the employers to plan their businesses very well to ensure their efficiency, sustenance and survival. In view of the findings and conclusion, the following recommendations were made among others: government and employers need to rate Business education just like business administration and accounting in the consideration for employment. Government should make a policy so as to ensure that business education graduates can be at the top of ensuring survival of small scale business. 8 TABLE