Lean digital transformation (LDT) has gained momentum recently, with small and medium-sized enterprises (SMEs) eager to implement innovative digital solutions to enable scale and growth. However, LDT is not an easy endeavour and is fraught with challenges. Many organisations struggle to convert to a digitally-enabled business, finding it difficult to identify right-sized solutions that align with their needs or implement good management practices. This exploratory study aims to better understand the challenges and barriers to LDT in small and medium-sized enterprises. First, a comprehensive review of the extant literature was conducted to identify and classify these barriers. Second, empirical data was collected from key opinion leaders in the industry using structured interviews to capture real-world insights. Third, thematic analysis was conducted to isolate and categorise the constructs. These constructs then helped to design a survey which was circulated to relevant people in industry to elicit their opinions. The findings from this study add value to the SMEs by expanding the debate on lean digital transformation and will help organisations to identify barriers and levers toward more efficient business practices.