Small-medium Enterprise have been regarded as an important existence or backbone to the economic growth in many developing countries globally. In Malaysia alone, Small-medium Enterprise (SME) have been acknowledge as an anchor in economic growth in Malaysia as it not only helps to provide jobs, it also contributes in reducing poverty and further increasing the standard of living of the people aside from the increase of Gross Domestic Profits (GDP) of the country. Therefore, various plans have been conducted by the Malaysian government through SME Corp that have costs millions with the purpose of transforming SMEs further in the effort to achieve the high-income nation by 2020. However, scholars have stated that SME is failing in an alarming rate only after a few years of its establishments causing it to become one of the topic that need to be discusses and overcome. Thus, this study will study not only the relationships of the factors but also to evaluate the level of influence of these factors that contributed to the challenges on SME survival in Selangor. Furthermore, questionnaire has been used for the data collection and involves total of 385 respondents who owns or work as a manager in SMEs within Selangor area. The findings of this study show that there is a positive relationship between all the independent variables with SME survival. Finally, the results also show that the government incentives only moderately help the SME to survive