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Leasing Puzzle in Polish Small Firms Listed on the Alternative Market

Author

Listed:
  • Jaszczuk Joanna

    (Faculty of Economic Sciences, University of Warsaw. WarsawPoland)

  • Białek-Jaworska Anna

    (Faculty of Economic Sciences, University of Warsaw. WarsawPoland)

  • Opolski Krzysztof

    (Faculty of Economic Sciences, University of Warsaw. WarsawPoland)

  • Sylwestrzak Marek

    (Faculty of Economic Sciences, University of Warsaw. WarsawPoland)

  • Trzpioła Katarzyna

    (Faculty of Management, University of Warsaw. WarsawPoland)

Abstract

In this article, we study the substitution between leasing and bank loans in financing the investment of small companies. The analysis is based on financial information about Polish companies listed on NewConnect, which used financial leasing in the period of 2012–2016. We argue that leasing and bank loans are the substitute in financing the investment of small companies. We estimate the probability of financial leasing and its size using the tobit and logit models. We find that financial leasing and bank loan, for Polish small companies, are complementarity. Our empirical results indicate that financial leasing and bank loans are complementary sources of financing investment in fixed assets. Also the higher the usage of financial leasing, the higher the likelihood that the enterprise is indebted because of long-term bank loan – complementarity.

Suggested Citation

  • Jaszczuk Joanna & Białek-Jaworska Anna & Opolski Krzysztof & Sylwestrzak Marek & Trzpioła Katarzyna, 2018. "Leasing Puzzle in Polish Small Firms Listed on the Alternative Market," Central European Economic Journal, Sciendo, vol. 5(52), pages 25-39, January.
    • Handle: RePEc:vrs:ceuecj:v:5:y:2018:i:52:p:25-39:n:4
    DOI: 10.2478/ceej-2018-0006
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    References listed on IDEAS

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    Cited by:

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    2. Lubonja Fatjola & Gjylameti Blerina & Kurti Sllavka, 2019. "Financial leasing in Albania and the impact that internal factors of a SME would have on the probability to be financed by lease," Central European Economic Journal, Sciendo, vol. 6(53), pages 189-198, January.

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    More about this item

    Keywords

    financial leasing; tobit; logit; small listed companies;
    All these keywords.

    JEL classification:

    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics
    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • M48 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Government Policy and Regulation

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