SMEs are drivers of economic growth and job creation in developing countries. It is paramount to determine the factors that hinder their growth. This paper uses the Enterprise Survey from the World Bank which covers data from 119 developing countries to investigate the biggest obstacles SMEs are...

We consider the investment timing and financing decisions of financially constrained small and medium-sized enterprises (SMEs) in a dynamic setting with asymmetric information. To alleviate its financing constraints, an SME finances a risky project using equity-for-guarantee swaps (EGS), which...

This paper develops a signal game model to investigate the impact of ambiguity aversion on small and medium-sized enterprises (SME) investment in incomplete markets with asymmetric information. Information asymmetry has twofold effects on SMEs' investment decisions. First, in a separating...