The Asian financial crisis hit small- to medium-sized enterprises SMEs hard in Hong Kong. While the media is awash with stories of financial institutions and venture capitalists throwing cash at dotcom-ers, old economy SMEs are strapped for cash.
When Tony Li, managing director of Upgrade Business Forms Manufactory, wanted to expand his printing business, he baulked at the idea of approaching his bank for a loan. Despite Upgrade's good relationship with the bank and sound track record, he was sure of rejection given the downturn in the property market. A good credit rating and solid profits just didn't cut it when applying for a loan in Hong Kong where, traditionally, banks...
