The fist part means 'small' and the second I think means like Fluffy, soft, yellow?
I think, not fore sure, let me call my Chinese friend quick.
Nope, the second part means Hair. lol.
I had longer blonde hair (for a guy) when I worked there, and all the Chinese workers there were like "amazed" by it, and hence, they called me 小毛.
And I am 5 foot 8 inches, so not really that tall, which how the first part means small, and the second part means hair.
At least I think it is hair, lets see what Chong will say about it when he comes on.
-FHM