While the literature on micro and small enterprises’ performance focused on the enabling external environment, little research focused on internal factors, mainly training. Financial shortage and unemployment are the present danger of our country and the government must successfully tackle them by creating and expanding micro and small enterprises. However, the limited capital should be efficiently utilized to multiply and expand micro and small enterprises that can create extra employment opportunities. Many intellectuals believed that effective trainings are the most important means to achieve such objectives. Thus, this study examined the impact of training on performance of micro and small enterprise operators found in Bahir Dar city administration. Empirical data was obtained through pre – post questionnaire survey and has been analyzed using descriptive statistics including paired sample t- test. The four level Kirckpatrick training evaluation model has been used, and the result of this study shows us that the micro and small enterprise operators’ performances were improved after training. More specifically, training has a positive impact on quality of operators’ work, working speed, productivity, motivation, and job satisfaction. However, still majority of the respondents are not satisfied with the trainings.Thus, so as to create extra job opportunities using small capital investment, the operators should be provided continuously with need driven, gap filling and problem solving capacity building trainings