While large firms are financed through public, visible institutions such as the stock market, private firms are financed through less visible, information scarce means – e.g., private equity or debt financing. At different points in a firm's financial growth cycle – at different stages of...

Changes in the economic environment where banks and small businesses operate have raised questions about the availability of credit to small businesses. Small businesses have fewer alternatives to external finance than do large companies. A brief overview of small firm financing is offered,...

Explores the role of bank-borrower relationships in small firm finance. Focus is on the availability and terms of lines of credit approved by banks. Data were obtained from the U.S. National Survey of Small Business Finances conducted in 1988-89. Telephone interviews were conducted with...