Nowadays, competition in marketplace has become more of an excitement. Each day, there are many new business enter the market with the new product and services. This study aims to find the application of e-commerce amongst SME’s in Kelantan. Factors included in this finding are their knowledge; formal or informal, practices; direct or indirect and also government policy. Findings show that entrepreneur that are using the e-commerce have the knowledge about e-commerce, practiced it in their business and also know what is the function of the government policy. Discussion on findings, conclusions and limitations of study are also included in the report. Nevertheless, further research is needed to really determine the state of e-commerce practices in Kelantan.