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Non-Bank Financing in Ireland: A Comparative Perspective

Author

Listed:
  • Conor M. O'Toole

    (Central Bank of Ireland)

  • Martina Lawless

    (Economic and Social Research Institute, Dublin; Trinity College Dublin)

  • Derek Lambert

    (Economic and Social Research Institute, Dublin; Trinity College Dublin)

Abstract

This research paper provides a statistical overview of which firms use non-bank financing in Ireland as well as a comparison vis-a-vis other Eurozone countries. We include a wide range of both non-bank debt finance (issued debt, trade credit, loans from friends/family/business partners, mezzanine debt and peer-to-peer lending/crowdfunding) as well as equity finance (venture capital, business angel and equity from friends and family and business partners). We attempt to answer the following research questions: (a) what firm characteristics are correlated with applications for, and usage of, specific types of bank finance? (b) What groups of firms or industries are more likely to apply for and use different types of non-bank finance? (c) Do Irish SMEs differ from other European enterprises and, if so, in what way? This overview should help provide evidence with which to understand the policy options available to diversify the financing options of Irish enterprises beyond their current reliance on bank lending.

Suggested Citation

  • Conor M. O'Toole & Martina Lawless & Derek Lambert, 2015. "Non-Bank Financing in Ireland: A Comparative Perspective," The Economic and Social Review, Economic and Social Studies, vol. 46(1), pages 133-161.
    • Handle: RePEc:eso:journl:v:46:y:2015:i:1:p:133-161
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    References listed on IDEAS

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    2. Zhang, Wen & Yan, Shaoshan & Li, Jian & Tian, Xin & Yoshida, Taketoshi, 2022. "Credit risk prediction of SMEs in supply chain finance by fusing demographic and behavioral data," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 158(C).
    3. Carroll, James & Mooney, Paul & O'Toole, Conor, 2016. "Irish SME Investment in Economic Recovery," Quarterly Bulletin Articles, Central Bank of Ireland, pages 77-91, March.
    4. Lawless, Martina & O’Connell, Brian & O’Toole, Conor, 2015. "SME recovery following a financial crisis: Does debt overhang matter?," Journal of Financial Stability, Elsevier, vol. 19(C), pages 45-59.
    5. Chakuu, Sumeer & Masi, Donato & Godsell, Janet, 2019. "Exploring the relationship between mechanisms, actors and instruments in supply chain finance: A systematic literature review," International Journal of Production Economics, Elsevier, vol. 216(C), pages 35-53.

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