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The Role of the Banker in Financing Medium-sized Firms in Belgium: Lender or Adviser?

This article analyses, on the basis of a field study, the role of banks in financing medium enterprises in Belgium. It shows that, like small firms, medium-sized businesses have a preference for self-financing. As far as external funding is concerned, debt is generally their main source. However, th...

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Bibliographic Details
Main Author: Wtterwulghe, Robert
Other Authors: Janssen, Frank
Format: Article
Language:English
Published: The Journals of Entrepreneurship 1997
Subjects:
Online Access:http://library.ediindia.ac.in:8181/xmlui/handle/123456789/1492
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100 |a Wtterwulghe, Robert 
245 |a The Role of the Banker in Financing Medium-sized Firms in Belgium: Lender or Adviser?  |c Wtterwulghe, Robert. 
260 |c 1997  |b The Journals of Entrepreneurship 
300 |a 75-85 
520 |a This article analyses, on the basis of a field study, the role of banks in financing medium enterprises in Belgium. It shows that, like small firms, medium-sized businesses have a preference for self-financing. As far as external funding is concerned, debt is generally their main source. However, their low debt ratios indicate that, as compared to the large firms, these enterprises take less recourse to banks and, as a result, pay little attention to their financial function. The banker does not play an important role as an adviser either, except when the firm decides to raise funds through the stock market. The article calls for greater specialisation on the part of the banks so that they can avoid conflicts of interest arising out of the mismatch between their service priorities and the needs of their clientele. 
650 |a Belgium 
650 |a Medium Sized Enterprises 
650 |a Banking 
650 |a Financial Economics 
650 |a Entrepreneurship 
700 |a Janssen, Frank 
773 |a The Journal of Entrepreneurship  |d Jan-Jun 
856 |u http://library.ediindia.ac.in:8181/xmlui/handle/123456789/1492 
942 |2 ddc  |c AR