Creative SMEs are heavily focusing on the creating process designing new products and services. Consequently, their managers tend to loose contact with crucial management issues. Especially their knowledge of the financial aspects of their business can be so limited that they fail to connect with the financial viability of their business, which can lead to serious business problems. This paper draws on a number of studies that examine the role of outsiders -contracted professional service providers- in relation to business success of SMEs. In the light of the potential growth of Flemish creative SMEs on international markets the question can be raised as to what extent outsiders, and more specifically financial service providers like accountants and banks, contribute to the export success of these firms. In this paper therefore the role played by accountants and banks was explored to solve export-related questions by small furniture designers in Flanders, Belgium. Export can be considered as the most successful growth and therefore raises interesting management issues for creative SMEs. Little is known about the content and intensity of services of accountants and bank employees in relation to export-related questions of owner-managers of small creative firms. In order to examine the fit between supply and demand the focus is on outsider contribution during six phases of export.
The objective of this study is to shed light on the added value of the services of five disciplines in M&A advisory in the SME domain: accountants, bankers, business brokers, fiscalists and lawyers. Theory is inconclusive in the added value of advisory services and research on the subject is hardly available. RBV predicts direct benefits in using advisory services in M&A, leading to less obstacles in and directly after M&A or lagged effects on more renewal of the firm. The theory of structural holes, agency theory and management entrenchment theory on the other hand predict neutral or negative effect of advisory services in M&A. The dataset includes 899 mergers and acquisitions (1) completed before 2003; (2) with an acquirer having bought 100% of target shares or assets; (3) of German, Belgian or Dutch origin; (4) of non-listed firms; (5) where acquirer and target firm are not member of the same family. Using (M)ANOVA’s and controlling for the effects of more than one advisor involved, the outcomes show consistently that the M&A advisory services do not reduce obstacles like financing, misinformation and culture and staff problems during or immediately after M&A. Looking at lagged effects of advisory services in the period of two years after M&A strategic more renewal by innovation occurs if bankers, fiscalists and lawyers are involved. Involvement of accountants and business brokers on the other hand decrease renewal.
This paper addresses new funding issues faced by SMEs. Over a period of nine months, the authors conducted a preliminary study into the problems surrounding stacked funding faced by SMEs and their financial advisers. The study includes a short literature review, the outcomes of three round table discussions and the identification of problems and possible solutions.
