The Use of Owner Resources in Small and Family Owned Businesses: Literature Review and Future Research Directions
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This paper integrates relevant literature and the Sustainable Family Business Model regarding interchange of financial resources between family and business. Two distinct literatures on the use of owner resources in small businesses are examined: the intermingling of business and household resources from the family firm literature and financial bootstrapping studies from the small business finance literature. What has not been addressed in both literatures about the use of owner resources is discussed and the risks that owner resource bootstrapping and intermingling may place on the household and the business are considered. Recommendations and propositions for future research are suggested. To fully understand the makeup and success of household financial portfolios and family businesses, it is important to understand the use of owner resources in a holistic manner.
KeywordsFamily business Financial bootstrapping Financial intermingling Owner resources Small business Sustainable Family Business Model
The authors wish to thank the participants of the 2nd Workshop on Family Firm Management Research in Nice, France for their helpful comments on an earlier version of the present paper, and especially the two anonymous referees and the editors of the special issue on family business, Linda Niehm and Jane Swinney, as well as the editor of the journal, Jing Xiao, for excellent suggestions and guidance.
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