The Association was founded by a group of owners and managers of business in Kuta Bali area including TJ's, Kori, Poppies, Surfer Girl, Maccaroni, Quicksilver, Uluwatu and others) and have been meeting to discuss ways to solve problems arising in the aftermath of Bali bombing I and II, as well as improving the long-range development of the greater Kuta area.

This group has now become a formal entity by the name of Asosiasi Usaha Kecil Kuta (Kuta Small Business Association, KSBA for short).

Through its intensive discussions the association has identified certain problems and ways to address them. This has crystallized into a 'KSBA Project and Problem Reference List'. On the list you will find suggestions to address issues such as security, parking and transport, street hassles, cleanliness, flooding and a bomb memorial among other things.

An important part of the association's efforts will also be to develop a 'Quality Assurance Program' whereby member businesses will pledge to meet certain standards for fairness, quality and cleanliness, and will then be able to display the KSBA logo at their shop as a symbol of honesty and quality to inspire greater confidence in customers.

Other initiatives of the association include a Kuta website, a tourist information center and organizing various festivals and events, including a month-long carnival, concluding on 12 October with a memorial event.