Academic underachievement has been an issue in schools as long as there have been schools and is an area of concern for educators, parents and learners. Some schools perform better than others. The difference in performance of schools could therefore be attributed to the circumstances at school. Mismatches between the child''s needs and environment of the school can be implicated in the problem of academic underachievement. The school creates a medium through which learners can achieve. Therefore the aim of the study was to discover which school- related factors affect academic underachievement. The literature study focused on characteristics and types of underachieving learners, signs of academic underachievement, and the school-related factors affecting academic underachievement. Quantitative research approach was used. Research findings indicated that lack of facilities and resources, and teacher ineffectiveness and underperformance are school-related factors that mostly affect academic underachievement. It is recommended that school facilities could be improved to create positive teaching and learning atmosphere.