SME Financing: Investigation of Firm and Industry Effects

摘要: Empirical evidence from previous studies (Sogorb Mira 2005) and reports (Brierley Kearns 2001; Cole 2008) suggests that firm characteristics such as size, age, growth, profitability have a significant influence on firm’s capital structure. Additionally, number of suggest asset structure is primary determinant financing (Bartholdy Mateus 2008), implying inter-industry differences in structures, firms industries typified by greater levels collateralisable assets the capacity for, may employ, debt than with higher concentration intangible 2001). Indeed, intra-industry structures be more comparable (Harris Raviv 1991). In this chapter, potential determining effect source finance employed investigated testing multivariate regression models data sample. Whilst approach study not original, there are novel features statistical methodology adopted variables tested. Application analysis survey uncommon (De Jong Van Dijk 2007), particularly SME finance, empirical theory conducted panel (Heyman et al. 2008; Lopez-Gracia Sogorb-Mira 2008). employs sources internal external equity, addition to debt, dependent models. This an advancement previously published studies, which typically tested employing short- long-term very few measure equity variable (Ou Haynes 2006), none both measures. (The dearth surprising, considering well-documented reliance SMEs retained earnings (Vos 2007; 2008)). Furthermore, detailed provision collateral respondents independent variable. considered novel, developed test profitability, but do include means provision.