In Egypt, small and medium-sized enterprises (SMEs) are pivotal to the economy but often face challenges in adopting e-commerce platforms. The study employs a combination of survey data collection from 300 SMEs and semi-structured interviews with 50 business owners. Data analysis includes thematic coding and statistical tests to assess correlations between variables. SMEs in Egypt show a mixed level of e-commerce adoption, with approximately 40% currently using online platforms for sales and marketing purposes. The primary challenges include high initial costs and insufficient digital literacy among SME owners. Despite these challenges, there is significant potential for growth in the e-commerce sector within Egypt’s SME landscape, particularly through targeted government initiatives aimed at reducing barriers to entry. Government policies should focus on providing financial incentives, enhancing digital education programmes, and fostering collaboration among stakeholders to support e-commerce development in Egypt's SMEs.