SME firms have limited resources which imposes a constraint on their ability to address the critical factors for successful ERP implementation. In this research we investigate problems faced by two subsidiaries of an SME trading firm. Our findings indicate that the problems are different for the three stages of ERP implementation life cycle- (1) pre-implementation, (2) customization, reengineering and installation, and (3) post-implementation usage and monitoring. The remedial measures call for different resources in the three stages and SME firms have a handicap in addressing some of the problems. Our findings also indicate that problems in the initial pre-implementation stage may have a ripple effect on the following stages, affecting successful implementation. Theoretical and practical implications of the findings are discussed.