The purpose of this study is to investigate the relationship between family firm governance factors and non-audit services (NASs) fees. This study also examines the moderating role of board gender diversity.
This study uses regression analyses and hand-collected data of 593 firm-year observations for a sample of non-financial Italian public family firms from 2014 to 2022.
The results of this study show that family involvement on the board is positively related to NASs fees, while family leadership is negatively associated with NASs fees. Moreover, board gender diversity moderates the relationship between family involvement on the board and NASs fees.
This study offers practical implications by enhancing the understanding of how, and under what conditions, governance factors in family firms may influence the decision-making process to acquire NASs, thereby benefiting both investors and practitioners.
This study provides novel empirical evidence to understand the heterogeneity among family firms in decisions concerning the acquisition of NASs.
