The necessity in SME - and any - financing is servicing the
loans; collecting money from the borrowers and thereby adding value
to the collateral and to the investor. As experts in loan
servicing, we see some common challenges in this process.
SME Direct Debt Funds and Non-Bank Lenders often do not have the
capability, the systems or the desire to service the loans that
they originate or invest in. Overall, we're seeing increased
support for SME financing from local and regional Government
bodies, a decreasing supply of traditional bank finance for SMEs,
and the demand for Alternative Finance on the rise. The SME lending
space is also undergoing a tech-led transformation through
blossoming Fintech platforms.
