The research points to a segment under pressure, as elevated interest rates, shrinking loan sizes, and more selective lending practices combined to squeeze business owners seeking capital.
According to Linkflow Capital, a leading SME loan consultancy in Singapore, small and medium-sized enterprises (SMEs) faced significantly tighter financing conditions in 2024, with borrowing costs surging even as access to larger loan amounts all but evaporated.
The consultancy's SME Financing Accessibility Survey, found that the average borrowing cost for SMEs rose to 8.47% per annum- the highest level in recent years-, based on data compiled from over 2,200 unique users of its SME loan comparison platform.
