How Do SMEs with Single and Multiple Owners Finance Their Operations Differently? Empirical Evidence from China

@inproceedings{Newman2013HowDS,
  title={How Do SMEs with Single and Multiple Owners Finance Their Operations Differently? Empirical Evidence from China},
  author={Alexander L. Newman and Daniel J. Borgia and Ziliang Deng},
  year={2013}
}
We study the impact of firm-level characteristics on the capital structures of private small and medium-sized enterprises (SMEs) as well as the differences between the capital structures adopted by SMEs with single and multiple owners in China. Our findings highlight the limited use of asset-based financing by Chinese SMEs. We also find that the propensity of SMEs with single-owners to use external debt was significantly less than those with multiple owners. Furthermore, our findings suggest… CONTINUE READING