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Financial Resources Management for SME`S of Mongolia

Author

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  • Ganbold Solongo

Abstract

This paper Financial resources management analyzes the sources of financing for the medium enterprises in Mongolia by comparing between limited liability companies and public listed companies who are actively working in trading, manufacturing and service providing companies external and internal sources of finances. The paper gives an overview of the related theories of financial sources and capital structuring and aimed to approve based on the empirical studies on the selected three different industries 14 companies (based on the empirical studies done on 14 companies within three different industries). This paper also defined an optimal capital structure for the selected industries and each company based on the scenario analysis and assumptions. This paper investigates the sources of financing for the medium enterprises in Mongolia in different ownership structures by a capital structure theories and their impact on corporate financial performances. There are several theories regarding the process of business financing in general, companies can obtain sources of finances from short term sources, debt finance, venture capital, equity finance and internal sources.

Suggested Citation

  • Ganbold Solongo, 2017. "Financial Resources Management for SME`S of Mongolia," International Business Research, Canadian Center of Science and Education, vol. 10(6), pages 145-163, June.
    • Handle: RePEc:ibn:ibrjnl:v:10:y:2017:i:6:p:145-163
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    References listed on IDEAS

    as
    1. James H. Scott Jr., 1976. "A Theory of Optimal Capital Structure," Bell Journal of Economics, The RAND Corporation, vol. 7(1), pages 33-54, Spring.
    2. Bradley, Michael & Jarrell, Gregg A & Kim, E Han, 1984. "On the Existence of an Optimal Capital Structure: Theory and Evidence," Journal of Finance, American Finance Association, vol. 39(3), pages 857-878, July.
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    Cited by:

    1. Ulziimaa Altnaa & Laszlo Vasa & Gyorgy Ivan Neszmelyi, 2021. "The Role of Network Ties on SMEs Internationalization Process in the Developing Countries/Emerging Markets: A Comparison between Mongolia, China, and Malaysia," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(1), pages 274-291.

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    More about this item

    Keywords

    Small & Medium Sized Enterprises (SME); capital structure; optimal capital structure; financial performances;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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