As a principal with Washington, DC’s Nexant, Rebecca Gaskin Gain advises on a range of African power projects with involvement from the US federal government. Over the years she has conducted and developed businesses in multiple international sectors. One of Rebecca Gaskin Gain’s key areas of professional interest is SME (small and medium enterprise) finance.
Due to the very nature of small and medium enterprises, SME funding presents many significant challenges. Smaller business ventures are generally younger, more informally structured, and offer fewer publicly available statistics, facts, and figures. They also tend to operate in unfamiliar businesses sectors and possess fewer assets to put up as collateral.
Given these challenges, business leaders and policy makers have developed several strategies to broaden SME financing access. These strategies include the establishment of credit information-sharing initiatives that encourage banks to fund SMEs. Other attempts to boost SME financing operations range from public credit guarantees for SME investment to legal reforms that allow movable assets to serve as collateral. In many cases, government initiatives have provided SME funding outside of the bank system by establishing secondary exchanges.
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