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Cash-flow issues 'threatening to stall SME growth'

Delayed payments from customers shooting up just as small companies shift out of survival mode: survey

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Singapore

POSITIVE signs have emerged that small- and medium-sized enterprises (SMEs) are shifting from survival mode to growth mode, as more look beyond cost-cutting to revenue generation.

But one looming threat that has the potential to derail expansion plans for SMEs is cash flow, as more experienced delayed payments this year, according to findings from the 2017 SME Development Survey by DP Info.

The annual survey found that more than a third of SMEs suffer from finance-related issues, which jumped from 22 per cent in 2016 to 35 per cent this year. This is the highest level since the survey began tracking the issue in 2011.

Financing issues were experienced across all sectors, but those which...

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