Institutional lending to knowledge-based businesses

Journal of Business Venturing

Volumn 20, Issue 6, 2005, Pages 793-819

  Gorman, Gary G ^a   Rosa, Peter J ^b   Faseruk, Alex ^a  

^a MEMORIAL UNIVERSITY OF NEWFOUNDLAND   (Canada)

^b UNIVERSITY OF EDINBURGH   (United Kingdom)

Author keywords

Bank lending; Consensus analysis; Government funding; Knowledge based businesses; Risk assessment

Indexed keywords

EID: 26644474101     PISSN: 08839026     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jbusvent.2004.04.002     Document Type: Article

References (66)

1. G.A. Akerlof The market for 'lemons': Quality uncertainty and the market mechanism Q. J. Econ. 84 3 1970 488-500
2. K.J. Arrow Uncertainty and the welfare economics of medical care Am. Econ. Rev. 53 5 1963 941-973
3. J.D. Arthurs L.W. Busenitz The boundaries and limitations of agency theory and stewardship theory in the venture capitalist/entrepreneur relationship Entrep. Theory Pract. 27 2 2003 145-160
4. N. Beck Shifting Gears: Thriving in the New Economy 1992 Harper Collins Toronto
5. H. Bester The role of collateral in credit markets with imperfect information Eur. Econ. Rev. 31 4 1987 887-899
6. M.R. Binks C.T. Ennew G. Reed Information asymmetries and the provision of finance to small firms Int. Small Bus. J. 11 1 1992 35-46
7. G.T. Bogle A.R. Reuber Issues involved in the financing of Canadian biotechnology firms by venture capitalists J. of Small Bus. Entrep. 9 2 1992 2-13
8. G. Boocock M. Woods The evaluation criteria used by venture capitalists: evidence from a UK venture fund Int. Small Bus. J. 16 1 1997 36-57
9. S.P. Borgatti ANTHROPAC 4.97 1996 Analytic Technologies Natick, MA
10. S.P. Borgatti ANTHROPAC 4.97 Methods Guide 1996 Analytic Technologies Natick, MA
11. A.V. Bruno T.T. Tyebjee The one that got away: A study of ventures rejected by venture capitalists Frontiers of Entrepreneurship Research 1983 Babson College Wellesley 289-306
12. A.V. Bruno T.T. Tyebjee The entrepreneur's search for capital J. Bus. Venturing 1 1 1985 61-74
13. J.E. Buerger T.A. Ulrich What's important to small business in selecting a financial institution J. Commer. Bank Lend. 69 1986 3-9
14. L.W. Busenitz J.B. Barney Differences between entrepreneurs and managers in large organizations: Biases and heuristics in strategic decision-making J. Bus. Venturing 12 1 1997 9-30
15. Canadian Banker Assessing the Risk of Ideas. Second Quarter 2000 29-32
16. R.B. Carter H.E. Van Auken Venture capital firms' preferences for projects in particular stages of development J. Small Bus. Manage. 32 1 1994 60-71
17. D. Caulkins S.B. Hyatt Using consensus analysis to measure cultural diversity in organizations and social movements Field Methods 11 1 1999 5-26
18. Y.S. Chan G. Kanastas Asymmetric valuations and the role of collateral in loan agreements J. Money, Credit Bank. 17 1 1985 84-95
19. R.J. Dowen W.S. Baumann The relationship between market efficiency and inside ownership in large and small firms Financ. Rev. 32 1997 185-203
20. K.A. Ericsson H.A. Simon Verbal reports as data Psychol. Rev. 87 3 1980 215-251
21. S.M. Fazzari A.M. Variato Asymmetric information and Keynesian theories of investment J. Post Keynes. Econ. 16 4 1994 351-369
22. M. Fletcher Decision making by Scottish bank managers Int. J. Entrep. Behav. Res. 1 2 1995 37-53
23. M. Fletcher Bank managers lending decisions to small firms Paper Presented at Stirling Management Centre, Stirling, Scotland 1995
24. V.H. Fried R.D. Hisrich Toward a model of venture capital investment decision making Financ. Manage. 23 3 1994 28-37
25. A.D. Gracey Guarantee Mechanisms for Financing Innovative Technology - Survey and Analysis 2001 European Commission Luxembourg
26. Groupe Secor, 1998. Financing knowledge-based small business. Research Paper prepared for the Task Force on the Future of the Canadian Financial Services Sector, Ottawa.
27. A.K. Gupta H.J. Sapienza Determinants of venture capital firms' preferences regarding the industry diversity and geographic scope of their investments J. Bus. Venturing 7 5 1992 347-362
28. H.J. Hall C.W. Hofer Venture capitalists' decision criteria in new venture evaluation J. Bus. Venturing 8 1 1993 25-42
29. R. Hays Business Loans: A Guide to Money Sources and How to Approach them Successfully 1977 CBI Publications Boston
30. Industry Canada, 1994. Financing the New Economy - Toward a Positive Conspiracy, Ottawa.
31. D. Jaffe T. Russell Imperfect information, uncertainty, and credit rationing Q. J. Econ. 90 4 1976 651-666
32. M.C. Jensen W.H. Meckling Theory of the firm: Managerial behaviour, agency costs and ownership structure J. Financ. Econ. 3 4 1976 305-360
33. H. Leblebici G.R. Salancik Effects of environmental uncertainty on information and decision processes in banks Adm. Sci. Q. 26 4 1981 578-596
34. H.E. Leland D.H. Pyle Informational asymmetries, financial structure, and financial intermediation J. Finance 32 2 1977 371-387
35. G. McNamara P. Bromiley Decision making in an organizational setting: cognitive and organizational influences on risk assessment in commercial lending Acad. Manage. J. 40 5 1997 1063-1088
36. F. Modigliani M.H. Miller The cost of capital, corporation finance, and the theory on investment Am. Econ. Rev. 48 3 1958 261-297
37. S.C. Myers N.S. Majluf Corporate financing and investment decisions when firms have information that investors do not have J. Financ. Econ. 13 3 1984 187-221
38. Organization for Economic Co-operation and Development Technology, Productivity and Job Creation 1996 OECD Paris
39. C. Ou Financing patterns of small business Paper Presented at Eastern Finance Association Meeting, Bal Harbour, Florida 1988
40. Pence, C.C., 1981. The making of an investment: The venture capitalist's case. PhD dissertation, University of California, Irvine.
41. R. Pettit R. Singer Small business finance: A research agenda Financ. Manage. 14 3 1985 47-60
42. J.W. Petty N. Upton The entrepreneur and the banker: A comparative study of factors affecting the relationship Paper Presented at the International Council for Small Business 42nd World Conference, San Francisco 1997
43. T. Philpott The banking relationship with the high technology small business customer Paper Presented to the ESRC/Royal Bank of Scotland Banks and Small Firms Seminar, Stirling, Scotland 1995 (June)
44. B. Reitan S.J. Waagp Criteria used by private bank officers to evaluate new ventures: An analysis of gaps and shortcomings Paper Presented to the 43rd World Conference of the International Council for Small Business, Singapore 1998
45. A. Riding G. Haines Loan guarantees: Costs of default and benefits to small firms J. Bus. Venturing 16 6 2001 595-612
46. M. Robbie Small business requests for bank finance: Reasons for decline In: M. Scott A. Gibb J. Lewis T. Faulkner (Eds.), Small Firms' Growth and Development 1986 199-210
47. A.K. Romney S. Weller W.H. Batchelder Culture as consensus: A theory of culture and informant accuracy Am. Anthropol. 88 2 1986 313-338
48. A.K. Romney W.H. Batchelder S. Weller Recent applications of cultural consensus theory Am. Behav. Sci. 31 2 1987 163-177
49. W.R. Sandberg D.M. Schweiger C.W. Hofer The use of verbal protocols: determining venture capitalists' decision processes Entrep. Theory Pract. 13 2 1988 8-20
50. D.M. Schweiger Is the simultaneous verbal protocol a viable method for studying managerial problem solving and decision making? Acad. Manage. J. 26 1 1983 185-192
51. C. Selltiz L.S. Wrightsman S.W. Cook Research Methods in Social Relations 1976 Holt, Rinehart and Winston New York
52. D.A. Shepherd Venture capitalists' introspection: A comparison of 'in use' and 'espoused' decision policies J. Small Bus. Manage. 37 2 1999 76-87
53. T. Shutt P. Vanasse Sources of SME Business Debt Financing in Atlantic Canada 1999 Conference Board of Canada Ottawa
54. Stanger, A.M., 1992. The need for a modified theory of financial management for small business: An agency perspective. Research paper, The Flinders University of South Australia.
55. Statistics Canada. 2002. 2000 survey on financing of small- and medium-sized enterprises. The Daily, Tuesday, October 1. http://www.statcan.ca/Daily/English/021001/d021001a.htm.
56. J. Stiglitz A. Weiss Credit rationing in markets with imperfect information Am. Econ. Rev. 71 3 1981 393-410
57. Thompson Lightstone and Company, 1998. Small and medium sized business in Canada: An ongoing perspective of their needs, expectations and satisfaction with financial institutions.
58. T.T. Tyebjee A.V. Bruno Venture capital decision making: Preliminary results from three empirical studies Frontiers of Entrepreneurship Research 1981 Babson College Wellesley 281-320
59. UK Government: Department of Trade and Industry, 1998. Our competitive future: Building the knowledge drAven economy: analytical report 3.2.3, (CM1250). http://www.dti.gov.uk/comp/competitive/.
60. UK Government: Department of Trade and Industry. 2001. Excellence and opportunity, a science and innovation policy for the 21st century, (CM 4814). http://www.ost.gov.uk/enterprise/dtiwhite/index.html.
61. H.E. Van Auken Financing small technology-based companies: The relationship between familiarity with capital and ability to price and negotiate investment J. Small Bus. Manage. 39 3 2001 240-258
62. D. van der Wijst Financial structure in small business: Theory, tests and applications In: M. Beckmann W. Krelle (Eds.), Lecture Notes in Economics and Mathematical Systems vol. 320 1989 Springer-Verlag Berlin
63. S.C. Weller A.K. Romney Systematic Data Collection 1988 Sage Newbury Park, CA
64. L. Wyant J. Hatch Banks and Small Business Borrowers 1991 The Western Business School, The University of Western Ontario Canada
65. A. Zacharakis G.D. Meyer A lack of insight - do venture capitalists really understand their own decision-process? A social judgement theory perspective J. Bus. Venturing 13 1 1998 57-76
66. L. Zingales In search of new foundations J. Finance 55 4 2000 1623-1653