More proactive measures needed to help SMEs manage costs and cash flow: SBF
Smaller firms in Singapore reported lower revenues and profits on average last year due to the tighter labour market and rising business costs, according to a survey by the Singapore Business Federation (SBF).
Higher wage, rental and transport expenses, coupled with the subdued global economy last year, also resulted in cash flow problems for many local small and medium-sized enterprises (SMEs), the SBF said.
As such, its SME committee hopes the Government can take more proactive measures in this year's Budget to help these SMEs cope with higher costs and get easier access to working capital, it said at a press briefing on Tuesday.
The measures it is proposing include supporting health-care and medical costs for SME employees, providing more affordable industrial space for firms, and enhancing some existing schemes meant to help firms become more productive.