Determinants of business success at Sunan Drajat Islamic Boarding School, east java Indonesia

This research explores the determinants of business success at Sunan Derajat Islamic Boarding School. Most Islamic boarding schools in Indonesia are dominant as educational institutions and preachers, so many do not run businesses for economic independence, resulting in the boarding schools charging high tuition fees for their students. This research was conducted through a qualitative approach by conducting focus group discussions with Islamic boarding school officials who are competent in providing information. Business success at Sunan Derajat Islamic Boarding School is determined by good management, professional accounting and clear accountability. Good management by committing to excellent service with spirituality. Adequate accounting in preparing financial statements is based on Indonesian Accounting Standards for Non-Publicly-Accountable Entities (SAK ETAP) and recording based on invoices/transaction records. Accountability is two-fold to Allah and Kyai (Islamic scholar) Ghofur as the boarding school caretaker. Also, accountability to Allah is manifested in Prayers and Dhikr, while accountability to Kyai Ghofur is in the form of financial statements that are accounted for weekly, monthly and annually. All transactions are authorized to avoid misuse of responsibility.