In Bangladesh, Small and Medium Enterprises (SMEs) invest less capital than large enterprises for creating job and thus it promotes equitable income distribution and removes the regional disparity. In Japan, Small and Medium Enterprises (SMEs) are extremely important to the economy, comprising 99.7% of all enterprises and 70.2% of workforces in the year 2002 and value addition was (53.8%). On the contrary, the contribution of Bangladesh SMEs on GDP at that time was 3.68%. The reason for this scanty contribution to GDP by Bangladeshi SMEs in the inability to use ICT in SMEs. The present study seeks to highlight the benefit of adopting ICT in SMEs with regard to the experience of Japan. It highlights the obstacles to the implementation of ICT in Bangladesh and provides some suggestions so that the government of Bangladesh and other relevant agencies can initiate e-business in SMEs to achieve competitive edge.