How do SMEs with single and multiple owners finance their operations differently? Empirical evidence from China

Alexander Harry Newman, Daniel Borgia, Ziliang Deng

Research output: Contribution to journalArticleResearchpeer-review

14 Citations (Scopus)


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 that single-owned firms are subject to a more constrained pecking order than those with multiple owners
Original languageEnglish
Pages (from-to)531 - 544
Number of pages14
JournalThunderbird International Business Review
Issue number5
Publication statusPublished - 2013

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