Do lenders value firm reputation? Evidence from SMEs in Ghana
by Abraham Ansong; Samuel Kwaku Agyei; Edward Marfo-Yiadom
EuroMed J. of Management (EMJM), Vol. 2, No. 2, 2017

Abstract: Our paper examined the effects of firm reputation on access to external funding among small and medium-sized enterprises (SMEs) in Ghana by controlling for firm specific variables such as firm size, firm performance, leverage and managerial competence. It contributes to our knowledge on how firm reputation, especially organisation identity, assists firms in accessing external funding. We analysed primary data of 423 SMEs registered in the Accra Metropolis of Ghana using regression analysis. Even though, we documented positive relationship between firm reputation and access to finance, only firm image was significant. This denotes that firm reputation could assist SMEs in accessing external financing if SME managers develop and improve their information and communication practices to highlight tangible evidences of firm success. This could be achieved by keeping proper books of accounts on firm operations, which could reduce lenders' perception of risk and thus, facilitate easier access to external funding.

Online publication date: Wed, 16-Aug-2017

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the EuroMed J. of Management (EMJM):
Login with your Inderscience username and password:

    Username:        Password:         

Forgotten your password?


Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com