@techreport{Mueller2005Benefits,
abstract = {This paper studies the influence of the private benefits of control on the capital structure
and the growth of private companies. It is argued that companies in which existing
owners would lose more control if they expanded, have smaller equity increases, are
more highly levered and grow more slowly. The dataset covers 8,964 private UK companies
with limited liability for up to 5 years. Potential loss of control is measured
as the difference in the probability of winning a vote for the largest owner before and
after a hypothetical equity increase. Consistent with the private benefits of control,
the results show that companies with a high potential loss of control do indeed have
smaller equity increases, use more debt and grow more slowly.},
address = {Mannheim},
author = {Elisabeth Mueller},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {G32; G34; 330; benefits of control; capital structure; company growth; small and medium-sized enterprises; entrepreneurship; Corporate Governance; Kapitalstruktur; Unternehmenswachstum; Gro\ss{}britannien},
language = {eng},
note = {More recent version: http://hdl.handle.net/10419/24494},
number = {05-55},
publisher = {Zentrum f\"{u}r Europ\"{a}ische Wirtschaftsforschung (ZEW)},
title = {Benefits of Control, Capital Structure and Company Growth},
type = {ZEW Discussion Papers},
url = {http://hdl.handle.net/10419/24147},
year = {2005}
}
