In the dynamic economic system, small and medium scale enterprise becomes important. This research work is therefore carried to discover how small and medium scale enterprise scale enterprise has helped in the development of rural community and as especially as related to Isoko North Local Government Area of Delta State. This work consists five chapters. The first chapter deals with introduction of the study, aim and objectives, the scope discovered by the work, the significance of the study, definition of terms and the limitation that I came across. The second chapter deals with review of related literature on the nature of business, what is small and medium scale enterprise, characteristics and forms of business, sources of fund, importance, problems associated and the prospects. The third chapter is the research methodology which contains how the information were collected, the population of the study, sample and sampling techniques of data, constraints in the data collection and method data analysis. Chapter four analyze and interpreted the data collected, the findings were brought out and discussions and implications were enumerated. Chapter five deals with findings and conclusion reached, recommendations made and suggestion for future study.