Type of ownership and the creation of new enterprises in Navarre, Spain: differences in financial survival Online publication date: Fri, 14-Sep-2007
by Zuray Melgarejo, Francisco J. Arcelus, Katrin Simon
International Journal of Technology, Policy and Management (IJTPM), Vol. 7, No. 3, 2007
Abstract: The purpose of this paper is to study whether there are differences in the financial survival, as measured by the degree of solvency and profitability, of very small firms, classified by type of ownership, whether Participatory Capitalist Firms (PCFs) or employee/Labour-Owned Firms (LOFs). The indexes measuring these two factors include return on assets, return of income, earnings before taxes, dividends and interest for profitability; the liquidity ratio for short-term solvency; and total solvency and an index of perceived risk for the static and dynamic aspects, respectively, of long-term solvency. The evidence suggests that LOFs tend to perform better in the short term, but fall behind in the long term.
Online publication date: Fri, 14-Sep-2007
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 International Journal of Technology, Policy and Management (IJTPM):
Login with your Inderscience username and 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 email@example.com