SMEs often report that they can’t take advantage of good investment opportunities because they don’t have enough money. So, it’s important to know why this happens. SMEs haven’t shown that they can raise money and give investors good returns in the past. Their internal controls are often inadequate, and their external controls are usually minimal as well.
SMEs face problems like more competition, not being able to adapt quickly enough to changes in market demand, changes in technology, and lack of knowledge, creativity, and innovation. The majority of SMEs lack knowledge regarding the various financial options available, as well as whom and how to approach them.