Banks have continuously reduced their lending activities to small and mid-sized enterprises since the 2008 financial crisis.
According to a study by Harvard University, SME lending by large U.S. banks has decreased by around 20 percent since the financial crisis and, due to regulatory pressure on large banks to reduce balance sheets, SME lending has not really picked up again since.
Fortunately for SMEs however, the recent boom in FinTech has provided SMEs with new alternatives to fund their business.
