Bank Relationships and Private Firms’ Financial Reporting Quality

References

• Achleitner, A., Kaserer, C., Günther, N., & Volk, S. (2011). Die Kapitalmarktfähigkeit von Familienunternehmen [Capital market viability of family firms]. Eds: Stiftung Familienunternehmen / PricewaterhouseCoopers [PwC], Munich. Retrieved from http://www.pwc.de/de_DE/de/mittelstand/assets/sfu_studie_kapitalmarkt_e4_zA.PDF
   Google Scholar
• Ayers, B. C., Jiang, J. X., & Laplante, S. K. (2009). Taxable income as a performance measure: The effects of tax planning and earnings quality. Contemporary Accounting Research, 26, 15–54. doi:10.1506/car.26.1.1
   Web of Science ®Google Scholar
• Ball, R., & Shivakumar, L. (2005). Earnings quality in UK private firms: Comparative loss recognition timeliness. Journal of Accounting and Economics, 39(1), 83–128. doi:10.1016/j.jacceco.2004.04.001
   Web of Science ®Google Scholar
• Berger, A. N., Klapper, L. F., & Udell, G. F. (2001). The ability of banks to lend to informationally opaque small businesses. Journal of Banking and Finance, 25, 2127–2167. doi:10.1016/S0378-4266(01)00189-3
   Web of Science ®Google Scholar
• Berger, A. N., Miller, N., Petersen, M., Rajan, R., & Stein, J. (2005). Does function follow organizational form? Evidence from the lending practices of large and small banks. Journal of Financial Economics, 76, 237–269. doi:10.3386/w8752
   Web of Science ®Google Scholar
• Berger, A. N., Rosen, R. J., & Udell, G. F. (2007). Does market size structure affect competition? The case of small business lending. Journal of Banking and Finance, 31, 11–33. doi:10.1016/j.jbankfin.2005.10.010
   Web of Science ®Google Scholar
• Berger, A. N., & Udell, G. F. (1995). Relationship lending and lines of credit in small firm finance. The Journal of Business, 68, 351–381. doi:10.2307/2353332
   Web of Science ®Google Scholar
• Berger, A. F., & Udell, G. F. (1998). The economics of small business finance: The roles of private equity and debt markets in the financial growth cycle. Journal of Banking and Finance, 22, 613–673. doi:10.1016/S0378-4266(98)00038-7
   Web of Science ®Google Scholar
• Beyer, A., Cohen, D. A., Lys, T. Z., & Walther, B. R. (2010). The financial reporting environment: Review of the recent literature. Journal of Accounting and Economics, 50(2–3), 296–343. doi:10.1016/j.jacceco.2010.10.003
   Web of Science ®Google Scholar
• Bharath, S. T., Dahiya, S., Saunders, A., & Srinivasan, A. (2011). Lending relationships and loan contract terms. Review of Financial Studies, 24, 1141–1203. doi:10.1093/rfs/hhp064
   Web of Science ®Google Scholar
• Bhattacharya, S., & Chiesa, G. (1995). Proprietary information, financial intermediation, and research incentives. Journal of Financial Intermediation, 4, 328–357. doi:10.1006/jfin.1995.1014
   Web of Science ®Google Scholar
• Bigus, J., Georgiou, N., & Schorn, P. (2015). Legal form and earnings properties. Forthcoming European Accounting Review. doi:10.1080/09638180.2015.1051566
   Google Scholar
• Bigus, J., & Hakenes, H. (2014). Does relationship lending require opaque (and conservative) financial reporting? (CEPR Discussion paper March 2014). London: Centre for Economic Policy Research [CEPR]. Retrieved from http://dev3.cepr.org/Pubs/new-dps/dplist.asp?dpno=9934
   Google Scholar
• Bolton, P., Freixas, X., Gambacorta, L., & Mistrulli, E. (2013). Relationship and transaction lending in a crisis (BIS Working Paper No. 417). Basel: Bank for International Settlements [BIS]. Retrieved from http://www.bis.org/publ/work417.pdf
   Google Scholar
• Boot, A. W. A. (2000). Relationship banking: What do we know? Journal of Financial Intermediation, 9, 7–25. doi:10.1006/jfin.2000.0282
   Web of Science ®Google Scholar
• Brunner, A., & Krahnen, J. P. (2008). Multiple lenders and corporate distress: Evidence on debt restructuring. The Review of Economic Studies, 75, 415–442. doi:10.1111/j.1467-937X.2008.00483.x
   Web of Science ®Google Scholar
• Burgstahler, D. C., Hail, L., & Leuz, C. (2006). The importance of reporting incentives: Earnings management in European private and public firms. The Accounting Review, 81, 983–1016. doi:10.2308/accr.2006.81.5.983
   Web of Science ®Google Scholar
• Campbell, T. S. (1979). Optimal investment financing decisions and the value of confidentiality. The Journal of Financial and Quantitative Analysis, 14, 232–257. doi:10.2307/2330442
   Web of Science ®Google Scholar
• Cano-Rodríguez, M. (2010). Big auditors, private firms and accounting conservatism: Spanish evidence. European Accounting Review, 19, 131–159. doi:10.1080/09638180902989426
   Web of Science ®Google Scholar
• Choi, W. (2007). Bank relationships and the value relevance of the income statement: Evidence from income-statement conservatism. Journal of Business Finance and Accounting, 34, 1051–1072. doi:10.1111/j.1468-5957.2007.02023.x
   Web of Science ®Google Scholar
• Coppens, L., & Peek, E. (2005). An analysis of earnings management by European private firms. Journal of International Accounting, Auditing and Taxation, 14(1), 1–17. doi:10.1016/j.intaccaudtax.2005.01.002
   Google Scholar
• Couwenberg, O., & de Jong, A. (2006). It takes two to tango: An empirical tale of distressed firms and assisting banks. International Review of Law and Economics, 26(4), 429–454. doi:10.1016/j.irle.2007.01.001
   Web of Science ®Google Scholar
• Darrough, M. N., & Stoughton, N. M. (1990). Financial disclosure policy in an entry game. Journal of Accounting and Economics, 12 (1-3), 219–243. doi:10.1016/0165-4101(90)90048-9
   Web of Science ®Google Scholar
• Daske, H., Gebhardt, G., & McLeay, S. (2006). The distribution of earnings relative to targets in the European Union. Accounting and Business Research, 36, 137–167. doi:10.1080/00014788.2006.9730019
   Google Scholar
• Dass, N., & Massa, M. (2011). The impact of a strong bank-firm relationship on the borrowing firm. Review of Financial Studies, 24, 1204–1260. doi:10.1093/rfs/hhp074
   Web of Science ®Google Scholar
• Dechow, P. M. (1994). Accounting earnings and cash flows as measures of firm performance: The role of accounting accruals. Journal of Accounting and Economics, 18(1), 3–42. doi:10.1016/0165-4101(94)90016-7
   Web of Science ®Google Scholar
• Dechow, P. M., & Dichev, I. D. (2002). The quality of accruals and earnings: The role of accrual estimation errors. The Accounting Review, 77, 35–59. doi:10.2307/3203324
   Web of Science ®Google Scholar
• Dechow, P. M., Sloan, R. G., & Sweeney, A. P. (1995). Detecting earnings management. The Accounting Review, 70, 193–225. doi:10.2307/248303
   Web of Science ®Google Scholar
• Dechow, P. M., Sloan, R. G., & Sweeney, A. P. (1996). Causes and consequences of earnings manipulation: An analysis of firms subject to enforcement actions by the SEC. Contemporary Accounting Research, 13, 1–36. doi:10.1111/j.1911-3846.1996.tb00489.x
   Google Scholar
• Degryse, H., & Ongena, S. (2001). Bank relationships and firm profitability. Financial Management, 30, 9–34. doi:10.2307/3666389
   Web of Science ®Google Scholar
• Degryse, H., & Ongena, S. (2005). Distance, lending relationships, and competition. The Journal of Finance, 60, 231–266. doi:10.1111/j.1540-6261.2005.00729.x
   Web of Science ®Google Scholar
• Department for Business Innovation and Skills [BIS]. (2011). Business population estimates for the UK and Regions 2011. Sheffield.
   Google Scholar
• Detragiache, E., Garella, P., & Guiso, L. (2000). Multiple versus single banking relationships: Theory and evidence. The Journal of Finance, 55, 1133–1161. doi:10.2307/222448
   Web of Science ®Google Scholar
• Elsas, R. (2005). Empirical determinants of relationship lending. Journal of Financial Intermediation, 14, 32–57. doi:10.1016/j.jfi.2003.11.004
   Web of Science ®Google Scholar
• Elsas, R., & Krahnen, J. P. (1998). Is relationship lending special? Evidence from credit-file data in Germany. Journal of Banking and Finance, 22, 1283–1316. doi:10.1016/S0378-4266(98)00063-6
   Web of Science ®Google Scholar
• European Private Equity and Venture Capital Association [EVCA]. (2012). Activity data on fundraising, investments and divestments by private equity and venture capital firms in Europe. Retrieved from http://www.evca.eu/media/12067/2012_Pan-European_PEVC_Activity.pdf
   Google Scholar
• European Union [EU]. (2013). Directive 2013/34/EU of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006/43/EC and repealing Council Directives 78/660/EEC and 83/349/EEC. Retrieved from http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32013L0034
   Google Scholar
• Francis, J., LaFond, R., Olsson, P. M., & Schipper, K. (2004). Costs of equity and earnings attributes. The Accounting Review, 79, 967–1010. doi:10.2307/4093083
   Web of Science ®Google Scholar
• Garrod, N., Kosi, U., & Valentincic, A. (2008). Asset write-offs in the absence of agency problems. Journal of Business Finance and Accounting, 35, 307–330. doi:10.1111/j.1468-5957.2008.02078.x
   Web of Science ®Google Scholar
• Gassen, J., & Fülbier, R. U. (2015). Do creditors prefer smooth earnings? Evidence from European private firms. Journal of International Accounting Research, 14(2), 151–180. doi:10.2308/jiar-51130
   Web of Science ®Google Scholar
• Gigler, F., Kanodia, C., Sapra, H., & Venugopalan, R. (2009). Accounting conservatism and the efficiency of debt contracts. Journal of Accounting Research, 47, 767–797. doi:10.1111/j.1475-679X.2009.00336.x
   Web of Science ®Google Scholar
• Harhoff, D., & Körting, T. (1998). Lending relationships in Germany – Empirical evidence from survey data. Journal of Banking and Finance, 22, 1317–1353. doi:10.1016/S0378-4266(98)00061-2
   Web of Science ®Google Scholar
• Hope, O.-K., Wayne, T. B., & Vyas, D. (2013). Financial reporting quality of U.S. private and public firms. The Accounting Review, 88, 1715–1742. doi:10.2308/accr-50494
   Web of Science ®Google Scholar
• Hutton, A. P., Marcus, A. J., & Tehranian, H. (2009). Opaque financial reports, R2, and crash risk. Journal of Financial Economics, 94, 67–86. doi:10.1016/j.jfineco.2008.10.003
   Web of Science ®Google Scholar
• Hyytinen, A., & Pajarinen, M. (2008). Opacity of young businesses: Evidence from rating disagreements. Journal of Banking and Finance, 32, 1234–1241. doi:10.1016/j.jbankfin.2007.10.006
   Web of Science ®Google Scholar
• Jones, J. J. (1991). Earnings management during import relief investigations. Journal of Accounting Research, 29, 193–228. doi:10.2307/2491047
   Web of Science ®Google Scholar
• Kim, J.-B., & Zhang, L. (2014). Financial reporting opacity and expected crash risk: Evidence from implied volatility smirks. Contemporary Accounting Research, 31, 851–875. doi:10.1111/1911-3846.12048
   Web of Science ®Google Scholar
• Kosi, U., & Valentincic, A. (2013). Write-offs and profitability in private firms: Disentangling the impact of tax-minimisation incentives. European Accounting Review, 22, 117–150. doi:10.1080/09638180.2012.661938
   Web of Science ®Google Scholar
• Larcker, D. F., & Rusticus, T. O. (2010). On the use of instrumental variables in accounting research. Journal of Accounting and Economics, 49(3), 186–205. doi:10.1016/j.jacceco.2009.11.004
   Web of Science ®Google Scholar
• Lawrence, A. (2013). Individual investors and financial disclosure. Journal of Accounting and Economics, 56 (1), 130–147. doi:10.1016/j.jacceco.2013.05.001
   Web of Science ®Google Scholar
• Lennox, C. S., Francis, J. R., & Wang, Z. (2012). Selection models in accounting research. The Accounting Review, 87, 589–616. doi:10.2308/accr-10195
   Web of Science ®Google Scholar
• Leuz, C., & Verrecchia, R. E. (2000). The economic consequences of increased disclosure. Journal of Accounting Research, 38, 91–124. doi:10.2307/2672910
   Web of Science ®Google Scholar
• Mach, T. L., & Wolken, J. D. (2006). Financial services used by small businesses: Evidence from the 2003 survey of small business finances. Ed: Federal Reserve Bulletin, A167-A195. Retrieved from http://www.federalreserve.gov/pubs/bulletin/2006/smallbusiness/smallbusiness.pdf
   Google Scholar
• Miller, B. P. (2010). The effects of reporting complexity on small and large investor trading. The Accounting Review, 85, 2107–2143. doi:10.2308/accr.00000001
   Web of Science ®Google Scholar
• Ongena, S., Tümer-Alkan, G., & Westernhagen, N. v. (2012). Creditor concentration: An empirical investigation. European Economic Review, 56(4), 830–847. doi:10.1016/j.euroecorev.2012.02.001
   Web of Science ®Google Scholar
• Peek, E., Cuijpers, R., & Buijink, W. (2010). Creditors’ and shareholders’ reporting demands in public versus private firms: Evidence from Europe. Contemporary Accounting Research, 27, 49–91. doi:10.1111/j.1911-3846.2010.01001.x
   Web of Science ®Google Scholar
• Petersen, M. A., & Rajan, R. G. (1994). The benefits of lending relationships: Evidence from small business data. The Journal of Finance, 49, 3–37. doi:10.1111/j.1540-6261.1994.tb04418.x
   Web of Science ®Google Scholar
• Petersen, M. A., & Rajan, R. G. (2002). Does distance still matter? The information revolution in small business lending. The Journal of Finance, 57, 2533–2570. doi:10.1111/1540-6261.00505
   Web of Science ®Google Scholar
• Puri, M., Rocholl, J., & Steffen, S. (2013). The sources of value of relationship banking: Screening, monitoring and borrower incentives (Working Paper July 2013). Durham, Berlin: Duke University and ESMT European School of Management and Technology.
   Google Scholar
• Rajan, R. G. (1992). Insiders and outsiders: The choice between informed and arm's-length debt. The Journal of Finance, 47, 1367–1400. doi:10.1111/j.1540-6261.1992.tb04662.x
   Web of Science ®Google Scholar
• Santikian, L. (2014). The ties that bind: Bank relationships and small business lending. Journal of Financial Intermediation, 23, 177–213. doi:10.1016/j.jfi.2013.11.004
   Web of Science ®Google Scholar
• Szczesny, A., & Valentincic, A. (2013). Asset write-offs in private firms – The case of German SMEs. Journal of Business Finance and Accounting, 40, 285–317. doi:10.1111/jbfa.12017
   Web of Science ®Google Scholar
• Thakor, A. V. (1996). Capital requirements, monetary policy, and aggregate bank lending: Theory and empirical evidence. The Journal of Finance, 51, 279–324. doi:10.1111/j.1540-6261.1996.tb05210.x
   Web of Science ®Google Scholar
• Wagenhofer, A. (1990). Voluntary disclosure with a strategic opponent. Journal of Accounting and Economics, 12 (4), 341–363. doi:10.1016/0165-4101(90)90020-5
   Web of Science ®Google Scholar
• Wittenberg-Moerman, R. (2008). The role of information asymmetry and financial reporting quality in debt trading: Evidence from the secondary loan market. Journal of Accounting and Economics, 46(2–3), 240–260. doi:10.1016/j.jacceco.2008.08.001
   Web of Science ®Google Scholar