Local Crowdfunding investment in SME

[CCUV]

CY09 you might have your case of crowd funding as a source of alternate investment but I have no doubt, regulations will eventually come. There is very little reasons to be investing in those sme given the loan size is small and if the sme can't even earn enough to have 100k-200k in capital to cover capex, that also speak record for themselves. Higher yield to me is a red flag for default not a strong merit for the quality of that investment. Investors recourse are also limited as like any other unregulated investment. Most sme will like to tell you they want to save money on interest on loan but to a matter of reality a lot of sme is under credit crunch,poor cash flow and unsustainable business practice. There is also an alarming increase of sme not paying their dues on time.