The objective of the study was to determine the relationship between environmental factors and the use of financial and regulatory technologies to improve operation in SMEs. In order to answer the research questions and to verify the hypotheses, the researchers used a combination of a descriptive-analytical research approach and a questionnaire-based research method. This questionnaire was developed and checked by other specialists before was administrated among the sample of 98 participants being executive managers, department heads, and employees working in SMEs in Gaza, Palestine. The research conducted in this study provided statistically significant evidence for the financial and regulatory technologies and the enhancement of SMEs’ operational performance at (α ≤ 0.05). Furthermore, concerning areas of improvement, the study suggested that SMEs should enhance the use of artificial intelligence and information technology, particularly in financial and regulatory areas since their importance in the improvement of operational performance is significant.