Funding Self-Employment - The Role of Consumer Credit

• Tác giả: Christoph Kneiding
• Ngôn ngữ: eng
• Ký hiệu phân loại: 332.74 Other forms of credit
• Thông tin xuất bản: Taylor and Francis, 2013
• Bộ sưu tập: Tài liệu truy cập mở
• ID: 303171
• Chủ đề: 1. consumer credit; 2. financial intermingling; 3. household business interface; 4. small business finance

Tóm tắt

This article investigates whether self-employed households use consumer loans - in particular, instalment loans and overdrafts - to finance business activities. Controlling for financial and nonfinancial household variables, we show that self-employed households particularly use personal overdrafts significantly more often than employee households. When analysing the correlation between consumer loan take-ups and consumption of self-employed in comparison to employee households, we find first evidence that overdrafts are used by self-employed to finance their business as well. This indicates that intermingling constitutes a financing strategy when regular business loans might not be accessible.