On capital structure in the small and medium enterprises : the spanish case

摘要: The principal aim of this paper is to test the relevance different financing theories for explaining capital structure choice in Small and Medium Enterprises (SMEs) sector. One areas financial theory that has worried much academicians professionals debt policy decisions companies. Although there are many previous empirical studies about large listed companies, scientific community only started pay attention small firm sector more recently. Investigations such as Van der Wijst (1989) or Michaelas et al. (1999) have set up basis development a line research on SMEs. In Spanish context still at its initial phases although some work been done recently sense like Ocana (1994), Boedo Calvo (1997) Lopez Aybar (2000). order shed light over issue we carry out an analysis panel data 3962 non-financial SMEs period 1994-1998. methodology use controls heterogeneity reduces collinearity among variables considered. Our results show decision sort companies can be explained by main theories: Fiscal Theory, Trade-Off Theory Pecking Order Theory. Among all these theories, caveats worth stressed hierarchically seems fit completely explanation policy.