We show that small firms using syndicated loans for their mid- and long-term financial needs have significantly higher leverage than firms that do not borrow in this market. This difference cannot be attributed to firm characteristics like the availability of growth opportunities, asset...

We question the validity of the broad consensus in the literature that loans are unique relative to other financial contracts. Research in this area is event-study driven and implicitly assumes that relatively small samples of loan announcements adequately represent all bank loans. Our analysis...

We show that small firms using syndicated loans for their mid- and long-term financial needs have significantly higher leverage than firms that do not borrow in this market. This difference cannot be attributed to firm characteristics like the availability of growth opportunities, asset...