How small and medium enterprises can raise finance.
Law, Lay Geok.
Tan, Lian Ann.
Wong, Meng Ling.
Date of Issue1995
College of Business (Nanyang Business School)
Small and Medium Enterprises (SMEs) are known as the building blocks of a successful economy. As these SMEs grow, so do the number of jobs available, distributable wealth and acountry's future economic stability. However studies have shown that many SMEs failed in the initial years of business. This study attempts to probe into the financing needs of SMEs in Singapore. A sample was drawn from the Economic Development Board's SMEs Register to respond to a structured questionnaire. Analysis was performed on the data gathered regarding how SMEs source finances for their operations and the channels through which these options are available. Interviews were also conducted with external financiers to gain more insights into findings of the survey. The study also attempts to probe into the reasons why SMEs applications for external financing were rejected. This study hopes to indicate the extent of difficulties faced by SMEs in Singapore.
NANYANG TECHNOLOGICAL UNIVERSITY