Despite new rules by the government are implemented to help the SMEs in getting more financial help. Budget measures don’t solve immediate issues, they say; water tariff hike and changes to diesel tax will add to cost pressures for them. Sentiment on the ground is especially strong. On one hand, businesses feel there is no quick fix to relieve their current woes. Kenneth Loo, president of the Singapore Contractors Association, said that while bringing forward of public-infrastructure projects will boost the quantum of work for the sector, the raised water tariff is a concern. He said: “With the market being slow and business cost is our biggest worry, any increases in costs will have an impact on our members, so that is a bit of a setback for us.” One of the SME’s key concerns is that they need to grow their competency to seek long-run success. Affordable SME loans and alternative financing techniques(Invoice Financing, PO Financing) could be a source of help they could get apart from Large Banks and Government. Continue reading
Crowdfunding is a product of the 2008 global financial turmoil. At that time, all enterprises, regardless of their size, were facing financial difficulties in obtaining bank loans. Therefore, raising funds from the public became an alternative. In June last year, the Monetary Authority of Singapore announced two measures to promote equity crowdfunding, including simplifying application requirements for projects that raised less than S$5 million within 12 months. The government and other regulatory sectors are expected to strengthen communication with financial technology and related industries sector on the emerging economic model, and amend regulations, to cater for innovations and investor interests.