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Financial Forecasting is the practice of projecting the quantitative impact of trends and changes in an operating environment on future operations. Lack of business skills to foresee business issues are among the factors which contribute to SMEs failure. This research aimed at assessing Financial Forecasting among SMEs. The general objective of the study is to assess Financial Forecasting practices in SMEs and whether they contribute to SMEs performance. The study was conducted on SMEs owners at Morogoro Municipal in Tanzania. The study assessed the level at which Financial Forecasting has been practiced in SMEs. The study identified factors that hinder SMEs owners/managers to practice Financial Forecasting. Lastly, the study suggested ways to motivate SMEs practice Financial Forecasting in their businesses.