Do family firms have better access to external finance during crises?

Corporate Governance: An International Review

Volumn 23, Issue 3, 2015, Pages 249-265

  Crespí, Rafel ^a   Martín Oliver, Alfredo ^a  

^a UNIVERSITAT DE LES ILLES BALEARS   (Spain)

Author keywords

Capital structures; Corporate Governance; Crisis; Family firms; Financial constraints

Indexed keywords

EID: 85027921878     PISSN: 09648410     EISSN: 14678683     Source Type: Journal    
DOI: 10.1111/corg.12100     Document Type: Article

References (45)

1. Admati, A. R., DeMarzo, P., Hellwig, M. F., & Pfleiderer, P. 2012. Debt overhang and capital regulation. Working Paper 114, Stanford University, Stanford, CA.
2. Aiyar, S. 2012. From financial crisis to Great Recession: The role of globalized banks. American Economic Review, 102: 225-230.
3. Almeida, H., Campello, M., Laranjeira, B., & Weisbenner, S. 2012. Corporate financing, debt maturity and the real effects of the 2007 credit crisis. Critical Finance Review, 1: 3-58.
4. Altman, E. I. 2000. Predicting financial distress of companies: Revisiting the Z-Score and Zeta models. Working paper, Stern School of Business, New York University.
5. Ampenberger, M., Schmid, T., Achleitner, A., & Kaserer, C. 2013. Capital structure decisions in family firms: Empirical evidence from a bank-based economy. Review of Managerial Science, 7: 247-275.
6. Anderson, R. C. & Reeb, D. M. 2003a. Founding-family ownership and firm performance: Evidence from the S&P 500. Journal of Finance, 58: 1301-1329.
7. Anderson, R. C. & Reeb, D. M. 2003b. Founding-family ownership, corporate diversification, and firm leverage. Journal of Law and Economics, 46: 653-684.
8. Ang, J. S. 1992. On the theory of finance for privately held firms. Journal of Small Business Finance, 1: 185-203.
9. Ang, J. S., Cole, R. A., & Lin, J. W. 2000. Agency Costs and Ownership Structure. Journal of Finance, 55: 81-106.
10. Beltratti, A. & Stulz, R. M. 2012. The credit crisis around the globe: Why did some banks perform better? Journal of Financial Economics, 105: 1-17.
11. Benmelech, E., Bergman, N. K., & Seru, A. 2011. Financing labor, NBER Working Paper 17144, National Bureau of Economic Research, Cambridge, MA.
12. Bentolila, S., Jansen, M., Jiménez, G., & Ruano, S. 2013. When credit dries up: Job losses in the Great Recession. IZA Discussion Papers, 7807, IZA, Bonn.
13. Bopaiah, C. 1998. Availability of credit to family businesses. Small Business Economics, 11: 75-86.
14. Boubakri, N. & Ghouma, H. 2010. Control/ownership structure, creditor rights protection, and the cost of debt financing: International evidence. Journal of Banking & Finance, 34: 2481-2499.
15. Boyd, J. H., Graham, S. L., & Hewitt, R. S. 1993. Bank holding company mergers with nonbank financial firms: Effects on the risk of failure. Journal of Banking & Finance, 17: 43-63.
16. Chrisman, J. J., Chua, J. H., & Litz, R. 2004. Comparing the agency costs of family and nonfamily firms: Conceptual issues and exploratory evidence. Entrepreneurship Theory and Practice, 28: 335-354.
17. Das, T. K. & Teng, B. S. 1998. Between trust and control: Developing confidence in partner cooperation in alliances. Academy of Management Review, 23: 491-512.
18. Diamond, D. W. 1989. Reputation acquisition in debt markets. Journal of Political Economy, 97: 828-862.
19. Douglas, D. W. & Rajan, R. G. 2009. The credit crisis: Conjectures about causes and remedies. American Economic Review, 99: 606-610.
20. Eggertsson, G. B. & Krugman, P. 2012. Debt, deleveraging, and the liquidity trap: A Fisher-Minsky-Koo approach. Quarterly Journal of Economics, 127: 1469-1513.
21. Ellul, A., Guntay, L., & Lel, U. 2007. External governance and debt agency costs of family firms. Board of Governors of the Federal Reserve System, International Finance Discussion Papers Number 908.
22. European Central Bank 2010. EU Banking Structures, Frankfurt.
23. Fahlenbrach, R. & Stulz, R. M. 2011. Bank CEO incentives and the credit crisis. Journal of Financial Economics, 99: 11-26.
24. Flannery, M. J. & Rangan, K. P. 2006. Partial adjustment toward target capital structures. Journal of Financial Economics, 79: 469-506.
25. Frank, M. Z. & Goyal, V. K. 2009. Capital structure decisions: Which factors are reliably important? Financial Management, 38: 1-37.
26. Garicano, L. & Steinwender, C. 2013. Survive another day: Does uncertain financing affect the composition of investment? CEP Discussion Papers, CEPDP1188, Centre for Economic Performance, London School of Economics and Political Science.
27. Gomez-Mejía, L. R., Nuñez-Nickel, M., & Gutierrez, I. 2001. The role of family ties in agency contracts. Academy of Management Journal, 44: 81-95.
28. Hovakimian, A., Hovakimian, G., & Tehranian, H. 2004. Determinants of target capital structure: The case of dual debt and equity issues. Journal of Financial Economics, 71: 517-540.
29. Karaivanov, A., Ruano, S., Saurina, J., & Townsend, R. 2010. No bank, one bank, several banks: Does it matter to investment? Working Paper 1003, Banco de España.
30. Kuppuswamy, V. & Villalonga, B. 2010. Does diversification create value in the presence of external financing constraints? Evidence from the 2008-2009 financial crisis, Working paper, Harvard University, Cambridge, MA.
31. Le Breton-Miller, I. & Miller, D. 2006. Why do some family businesses out-compete? Governance, long-term orientations, and sustainable capability. Entrepreneurship Theory and Practice, 30: 731-746.
32. Lemmon, M., Roberts, M., & Zender, J. 2008. Back to the beginning: Persistence and the cross-section of corporate capital structure. Journal of Finance, 63: 1575-1608.
33. Miller, D., Le Breton-Miller, I., Lester, R., & Cannella, A. 2007. Are family firms really superior performers? Journal of Corporate Finance, 13: 829-858.
34. Miller, D., Le Breton-Miller, I., & Scholnick, B. 2008. Stewardship vs. stagnation: An empirical comparison of small family and nonfamily businesses. Journal of Management Studies, 45: 51-78.
35. Mishra, C. & McConaughy, D. 1999. Founding family control and capital structure: The risk of loss of control and the aversion to debt. Entrepreneurship Theory and Practice, 23(4): 53-64.
36. Rajan, R. & Zingales, L. 1995. What do we know about capital structure? Some evidence from international data. Journal of Finance, 50: 1421-1460.
37. Schulze, W., Lubatkin, M., & Dino, R. 2003. Exploring the agency consequences of ownership dispersion among the directors of private family firms. Academy of Management Journal, 46: 179-194.
38. Schulze, W., Lubatkin, M., Dino, R., & Buchholtz, A. 2001. Agency relationships in family firms. Organization Science, 12: 99-116.
39. Shanker, M. C. & Astrachan, J. H. 1996. Myths and realities: Family businesses' contribution to the US economy - A framework for assessing family business statistics. Family Business Review, 9: 107-123.
40. Steijvers, T. & Voordeckers, W. 2009. Private family ownership and the agency costs of debt. Family Business Review, 22: 333-346.
41. Steijvers, T., Voordeckers, W., & Vanhoof, K. 2010. Collateral, relationship lending and family firms. Small Business Economics, 34: 243-259.
42. Tsui-Auch, L. S. 2004. The professionally managed family-ruled enterprise: Ethnic Chinese business in Singapore. Journal of Management Studies, 41: 693-723.
43. Ueda, K. 2012. Deleveraging and monetary policy: Japan since the 1990s and the United States since 2007. Journal of Economic Perspectives, 26: 177-201.
44. Villalonga, B. & Amit, R. 2006. How do family ownership, management and control affect firm value? Journal of Financial Economics, 80: 385-417.
45. Zellweger, T. M. & Nason, R. S. 2008. A stakeholder perspective on family firm performance. Family Business Review, 21: 203-216.