<abstract xmlns="http://www.w3.org/1999/xhtml">

<p>The aim of the article is to analyze the impact of the concept of familiness on the financing of French firms. In this respect, three factors are considered. The first one is about the presence of a family CEOs.The second deal with the presence of a family member and the third comes with transgenerational succession. Such an effect is highlighted by using a sample of 100 unlisted French family firms over the period 2003–2012. The results show that the involvement of the concept of “familiness” in family firms leads to a different financial structure from other firms. The ownership structure adopted by family CEOs and transgenerational succession improve debt. On the other hand, the presence of a family member on the board of directors does give significant results; the negative coefficients demonstrate reluctance regarding debt. A possible explanation for the paradox is that the capital structure of French family firms is specific.</p>
</abstract>

The aim of the article is to analyze the impact of the concept of familiness on the financing of French firms. In this respect, three factors are considered. The first one is about the presence of a family CEOs.The second deal with the presence of a family member and the third comes with transgenerational succession. Such an effect is highlighted by using a sample of 100 unlisted French family firms over the period 2003–2012. The results show that the involvement of the concept of “familiness” in family firms leads to a different financial structure from other firms. The ownership structure adopted by family CEOs and transgenerational succession improve debt. On the other hand, the presence of a family member on the board of directors does give significant results; the negative coefficients demonstrate reluctance regarding debt. A possible explanation for the paradox is that the capital structure of French family firms is specific.

Examining the Effects of Familiness on the Capital Structure: The Case of French Family Firm

Journal of Legal Studies

This work is licensed under the Creative Commons Attribution 4.0 International License.

The aim of the article is to analyze the impact of the concept of familiness on the financing of French firms. In this respect, three factors are considered....

Examining the Effects of Familiness on the Capital Structure: The Case of French Family Firm

Publicado en línea: 10 nov 2022

Páginas: 92 - 116

Recibido: 01 sept 2022

Aceptado: 01 oct 2022

DOI: https://doi.org/10.2478/jles-2022-0018

Palabras clave
Family firm, debt, financial structure, durability, familiness, transgenerational succession

© 2022 Faten Chibani Ltaief, published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.

Examining the Effects of Familiness on the Capital Structure: The Case of French Family Firm

Publicado en línea: 10 nov 2022

Páginas: 92 - 116

Recibido: 01 sept 2022

Aceptado: 01 oct 2022

DOI: https://doi.org/10.2478/jles-2022-0018

Palabras claveFamily firm, debt, financial structure, durability, familiness, transgenerational succession

© 2022 Faten Chibani Ltaief, published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.

Palabras clave
Family firm, debt, financial structure, durability, familiness, transgenerational succession