Alan Wong, Managing Director of Bibby Financial Services (Singapore) has recently been invited by CNA938, a new radio station by Channel NewsAsia to share the research findings of Global Business Monitor 2019 in the Money Mind programme presented by Chew Wui Lynn and Stanley Leong.
80% Singapore SMEs are optimistic about growth opportunities
In response to one of the survey findings of 80% of Singapore SMEs are optimistic about growth opportunities, provided the weak economic numbers and gloomy global outlook, Alan said this gave him certain degrees of surprise but not all that shocking. The trade tension and Brexit have already been around for a while, SMEs have accepted these political and global uncertainties as new norm. Alan also pointed out there are SME initiatives and funding initiatives supported by the Government that SMEs could leverage on and focus on the growth opportunities as polled, finding new market segments (22%), trading internationally (13%) and developing new products and services (11%).
Cash flow is considered one of the top 3 greatest challenges polled by 49% Singapore SMEs
Alan commented cash flow is the life line of SMEs. Insolvencies or financial difficulties happen mainly because of cash flow problems instead of lack of order. It is very important that SMEs need to remain financially ready to tackle challenges of slow payment from customers. Apart from traditional bank loans, SMEs could explore alternative financing options like factoring to improve their cash flow.