Title: Literature review: investment readiness level of small and medium sized companies
Authors: Katharina Fellnhofer
Addresses: School of Business and Management, Lappeenranta University of Technology, P.O. Box 20, FI-53851 Lappeenranta, Finland; New Design University, Mariazellerstraße 97a, 3100 St. Pölten, Austria
Abstract: This contribution outlines the rising and promising research topic related to investment readiness level (IRL) of Small and Medium Sized Companies (SMEs). To advance this field of investigation and to bring potential future research directions to light, this paper reviews and explores the current state of research by means of a literature review contemplating quantitative facets in the methodology. While facilitating comparisons in applied methods of earlier development and progress, it uncovers core areas where research is still required. By considering the present body of literature focusing on the IRL of SMEs as a whole, this paper ends by proposing two essential recommendations for future research effort. The paper captures the multi-faceted nature of IRL to reveal the range of conditions of alternative financial sources affecting the activities of researchers, entrepreneurs, investors and politicians alike.
Keywords: investment readiness levels; entrepreneurs; financiers; entrepreneurship; investors; principal agency theory; information asymmetry; small and medium-sized enterprises; SMEs; literature review; alternative finance.
International Journal of Managerial and Financial Accounting, 2015 Vol.7 No.3/4, pp.268 - 284
Received: 19 Sep 2015
Accepted: 04 Dec 2015
Published online: 23 Feb 2016 *