...Timm Gödecke; Dirk Schiereck Purpose This paper aims to investigate the impact of the largest shareholder's voting stake on the firm's capital structure decision. Design/methodology/approach To empirically analyze the influence of the voting stake on leverage, a large sample of 814 exchange...

...Riad Baha; Aldo Levy; Amir Hasnaoui Purpose This study examines the existence of a causal relationship between the capital structure at the creation of the small and medium-sized enterprise (SME) and its viability after 3 years. Design/methodology/approach The empirical strategy consists...

... and uninformed lenders. The firm knows the risk of its assets, while lenders only know the minimum level of risk. The author solves for the signaling equilibrium and derive explicit formulas for the firm’s cost of debt and optimal leverage. Findings In contrast to the tradeoff theory of capital structure...

...Darush Yazdanfar; Peter Öhman Purpose This paper aims to empirically investigate the existence of dynamic capital structure among small and medium-sized enterprises (SMEs) across their life cycle stages. Design/methodology/approach The analysis examined a sample of 15,952 SMEs across five...

... in the current study, and defined as the firm’s book value of net profit after tax, divided by total assets. To identify the relationship between debt ratios and profitability in detail, the capital structure variables were divided into three categories: After this review of previous empirical...

...Johann Burgstaller; Eva Wagner Purpose – The purpose of this paper s to study the financing behavior of family firms (FF), as these differ from their small- and medium-sized enterprise (SME) counterparts in their capital structure decision, mainly due to an increased risk aversion and the desire...

... This article originally appeared in Volume 12 Number 4, 2011, The Journal of Risk Finance “Small enough to fail: a systems approach to financial systems reform” © Emerald Group Publishing Limited 2012 --> Capital structure Corporate governance United Kingdom Article...

...Basil Al‐Najjar; Khaled Hussainey Purpose This paper seeks to explore the potential drivers of corporate capital structure. Design/methodology/approach The paper applies both fixed effects panel models and random effects tobit models to examine this issue. A sample of 379 firms is used across...

...Faris M. Abu Mouamer Purpose The purpose of this paper is to examine the relationship between capital structure and debt lifetime among listed companies in Palestine stock market. Design/methodology/approach This study investigates firms that have been listed on the Palestine securities...

...Godfred A. Bokpin; Anthony Q.Q. Aboagye; Kofi A. Osei Purpose The purpose of this paper is to examine the extent to which corporate managers alter their capital structure in response to risk exposures on the Ghana Stock Exchange (GSE). Design/methodology/approach A panel data covering...

...Jasim Al‐Ajmi; Hameeda Abo Hussain; Nadhem Al‐Saleh Purpose The purpose of this paper is to assess and explain the leverage of Saudi companies (53 companies) during the period 2003‐2007. Design/methodology/approach This paper reviews two different classical capital structure theories, namely...

...Ibrahim El‐Sayed Ebaid Purpose The purpose of this paper is to empirically investigate the impact of capital structure choice on firm performance in Egypt as one of emerging or transition economies. Design/methodology/approach Multiple regression analysis is used in the study in estimating...

...Michael R. Powers; Joshua Abor Purpose The purpose of this research is to examine the effect of debt policy (capital structure) on the financial performance of small and medium‐sized enterprises (SMEs) in Ghana and South Africa. Previous studies, especially on large firms, have shown that capital...

...Anthony Kyereboah‐Coleman Purpose The purpose of this paper is to examine the impact of capital structure on the performance of microfinance institutions. Design/methodology/approach Panel data covering the ten‐year period 1995‐2004 were analyzed within the framework of fixed‐ and random...

...Joshua Abor Purpose This paper seeks to investigate the relationship between capital structure and profitability of listed firms on the Ghana Stock Exchange (GSE) during a five‐year period. Design/methodology/approach Regression analysis is used in the estimation of functions relating...