Here I discuss about the importance of skilled labor in Small and Medium Enterprises. If the labor skill is very good like dealing with customer, active mind and good management and also technically skilled then he must run business very well according to current and future demand as like we see today computer uses in every field work and if the labor know about the use of computer then he must run the business and cam manage with very well. Other wise he labor fail to run a business with out skills. Because as we see future then we must hire such type of labor who have multi skills. So it is very important for an Enterprise that has skilled labor.