Journal article
Anoosheh Rostamkalaei, M. Freel
2017
2017
Semantic Scholar
DOI
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Cite
APA
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Rostamkalaei, A., & Freel, M. (2017). Business advice and lending in small firms.
Chicago/Turabian
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Rostamkalaei, Anoosheh, and M. Freel. “Business Advice and Lending in Small Firms” (2017).
MLA
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Rostamkalaei, Anoosheh, and M. Freel. Business Advice and Lending in Small Firms. 2017.
BibTeX Click to copy
@article{anoosheh2017a,
title = {Business advice and lending in small firms},
year = {2017},
author = {Rostamkalaei, Anoosheh and Freel, M.}
}
Abstract
The literature on lending to small firms has primarily focused on the mechanisms and methods used to evaluate entrepreneurs and businesses and on the types of firms that are more likely to experience unfavourable application outcomes. That is, the focus of most empirical research is on supply-side decisions. The current research attempts to shed some light on demand-side considerations. Drawing upon data collected as the UK SME Finance Monitor (2011–2014), we identify links between entrepreneurs' diligence, business risk and finance-related advice-seeking prior to initiating loan and overdraft applications. The results show evidence of the usefulness of advice in ameliorating, both structural and strategic, business risk and improving the prospects of successful debt applications to banks.
