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Abstract
This study sought to examine the effects of leadership styles on employee performance in Small and Medium Enterprises (SMEs) in Ado-Ekiti, Ekiti State, Nigeria. To achieve this objective, autocratic, democratic, and laissez-faire leadership styles were considered for this study. The study adopted a quantitative approach and employed the descriptive survey research design. A sample of 199 SME owners/managers/operators were used for the study which were sampled using simple random sampling technique. Data was collected via the aid of a structured and close-ended questionnaire which was measured on a five-point Likert scale. Gathered data was analysed using both descriptive statistics (frequencies and percentages) and inferential statistics (multiple linear regression). Finding from the study showed that autocratic and democratic leadership styles had no statistically significant effect on employee performance. Only laissez-faire was the leadership style seen to have statistically significant effect on employee performance. Based on this, the study concluded that laissez-faire leadership style is the most appropriate leadership style to stimulate or trigger the performance of employees in SMEs in Ado-Ekiti, and by extension, Ekiti State. As a result, the study recommends that the owners/managers/operators of SMEs in the Ado-Ekiti should adopt more of laissez-faire leadership style if they are to experience improved performance from their employees