Financing

Financing from Family and Friends

Informal finance is often believed to be expensive and in limited supply. But most informal investors -- family and friends -- offer funds cheaply; and...

Startups and Company Law: The Competitive Pressure of Delaware on Italy (and Europe?)

US corporate law and, in particular, Delaware law, which leaves ample room to freedom of contract, has been one of the reasons for the successful creation...

The Sources of Financing Constraints

In order to identify the relevant sources of firms' financing constraints, we ask what financial frictions matter for corporate policies. To that end,...

The ownership and financing of innovation in R&D races

Sustainable Finance and Stewardship: Unlocking Stewardship's Sustainability Potential

This paper explores the role of investor stewardship against a background of broader efforts to improve the sustainability of financial markets....

The real effects of rating actions: Evidence from corporate asset sales

Credit rating actions could discipline management to improve asset allocations, but may also trigger corporate responses to alleviate financial...

Loans to Chapter 11 Firms: Contract Design and Pricing

With a hand-collected set of 545 debtor-in-possession (DIP) loan facilities, 2002-2019, we show that these short-term loans are highly...

Financing Through Asset Sales

Most research on firm financing studies debt versus equity issuance. We model an alternative source, non-core asset sales, and identify three new...

Be Careful What You Ask for: Fundraising Strategies in Equity Crowdfunding

We use equity crowdfunding data to ask how fundraising amounts can be explained by what entrepreneurs ask for, versus what investors want to invest. The...

Why Financial Regulation Keeps Falling Short

This article argues that there is a fundamental mismatch between the nature of finance and current approaches to financial regulation. Today’s...

The EU Sustainable Governance Consultation and the Missing Link to Soft Law

In this paper, we investigate whether reform of EU company law is needed to make corporate governance more sustainable through an analysis of some of the...

Do Analysts' Preferences Affect Corporate Policies?

Equity research analysts tend to cover firms about which they have favorable views. We exploit this tendency to infer analysts' preferences for...