Small and Medium Enterprises (SMEs) face increasing pressure to remain competitive in rapidly evolving markets. Business Intelligence (BI) has emerged as a strategic tool that supports data-driven decision-making and improves organizational performance. This study aims to explore the impacts, benefits, and challenges of BI implementation in SMEs through a systematic literature review (SLR) of relevant academic sources. Literature was collected from databases such as Scopus and Google Scholar and analyzed using thematic categorization based on BI usage and its performance outcomes in SMEs. The findings highlight that BI positively contributes to decision-making quality, operational efficiency, and financial performance. However, SMEs often face challenges such as high implementation costs, lack of skilled personnel, and integration difficulties. The success of BI adoption is highly influenced by contextual factors, including data quality, financial capacity, and strategic planning. This review concludes that while BI offers significant advantages for SMEs, a careful, well-planned approach is necessary to overcome adoption barriers. Further research is recommended to explore industry-specific BI solutions that address the unique needs of SMEs.