What Drives Eco-Design Innovations in European SMEs?

Building on the natural-resource-based view, and using a sample of 7,165 European SMEs, this chapter investigates the drivers of eco-design innovations among SMEs under three categories: (1) sustainability-oriented firm capabilities, (2) technological capabilities, and (3) access to finance. The findings reveal that sustainability-oriented capabilities achieved through investments into circular economy are the strongest driver of SMEs' eco-design innovations. Firms' technological capabilities are also found to boost their ability to adopt eco-design innovations. While equity finance increases the possibilities for SMEs to devote resources to eco-design, grant finance is interestingly observed to decrease such possibilities. The more traditionally used form of debt finance remains detached from eco-design implementations. The study contributes to a better understanding of how eco-design practices can be broadened within SMEs and highlights policy recommendations in this regard.

Financing Options and Sustainable Small Business Growth in Uganda: An Optimal Model

Small businesses in Uganda continue to lag behind trends in terms of sales turnover profitability, employee growth, while others rarely live to celebrate their first birthday due to various constraints of which financing is at the forefront. This study set out to determine the relationship between various financing options and sustainable small business growth so as to suggest an optimal financing model to ensure sustainable small businesses. The study adopted a cross-sectional descriptive survey design to analyse a sample of 399 small businesses which were selected using stratified random sampling from Kampala Metropolitan Area. Data were collected using a researcher administered structured questionnaire and analysed using descriptive statistics. The relationship between the variables was determined using Spearman’s rank correlation coefficeint. The study established that there is a weak positive significant correlation between traditional debt finance and sustainable small business growth, a strong positive significant correlation between asset-based finance and sustainable small business growth, and a strong positive significant correlation between crowdfunding and sustainable small business growth. The study further established that there is a moderate positive significant relationship between equity finance and sustainable small business growth. The study concluded that improving on the available financing options would improve on the sustainable small business growth. It is recommended that the ideal model for financing small businesses should be the integration of the financing options, but giving priority to; asset based lending, crowdfunding, equity finance and lastly traditional debt finance.

The Rise of Secured Credit

This chapter explores the way in which the shifts in the fields of finance and non-financial corporates discussed in Chapters 3 and 4 have led to changes in US secured transactions law. It examines the way in which these changes have, in turn, shifted bargaining power towards secured creditors when a debtor attempts to reorganize its debt and equity finance. However, the argument is made that this gives rise to different issues from the traditional concern for secured creditor liquidation bias when it is set in the wider organizational and institutional environment which the book has begun to examine. Turning to England, the chapter explores how the English courts have generally supported the allocation of control rights in distress to senior financial creditors. It reveals why this has, once again, made English corporate reorganization law particularly well adapted to the demands of the past decade.

Looking to the Future

It is an organizing principle of the book that modern corporate reorganization law responds to different patterns of fact in diverse and complex ways, and this chapter explores other types of corporate reorganization case beyond financial restructuring. It argues that the analysis of these types of case may depend more fundamentally on the lens through which they are viewed. Furthermore, it suggests that there are reasons to suspect that there may be an increase in some of these other types of case over the next decade. This provides the framework in which to investigate the claim in the book that English scholars, practitioners, judges, and the legislature may face challenges in connecting concepts which are well adapted to a reorganization of loan, bond, and equity finance arrangements to new adaptations of corporate reorganization law.

Muḍārabah and mushārakah as micro-equity finance: perception of Selangor’s disadvantaged women entrepreneurs

Purpose This study aims to gain the perception of Selangor’s disadvantaged women on the Sharīʿah (Islamic law) rules on two micro-equity financing instruments, namely, muḍārabah (profit sharing) and mushārakah (profit-and-loss sharing) (M&M). Design/methodology/approach A survey was carried out in the rural area of Selangor district in Malaysia by administering a self-generated structured questionnaire. A total of 330 completed questionnaires were retrieved from the members of an Islamic microfinance institution (IsMFI), namely, Amanah Ikhtiar Malaysia (AIM). The data were analysed by using structural equation modelling. Findings The female borrowers of AIM perceive the Sharīʿah rules of M&M requiring high moral and ethical values and diligent repayment performance. They are aware of some other underlying provisions such as business liquidation, share transfer, information discloser and business termination. The overall findings of this study suggest that the perceived Sharīʿah rules are akin to those that are commonly used in general partnership businesses between Muslims. It also indicates that disadvantaged entrepreneurs would accept the rules that are easy to comprehend as well as favourable to their interests. It further suggests that respondents’ experiences of microfinance and business operation do not have a significant influence on their perception of M&M instruments. Research limitations/implications This study was limited to Selangor. So, the perception of Muslim women surveyed may not represent the views of all women in Malaysia. However, it can offer a primary understanding of the said issue. Practical implications The findings of this study can help IsMIFs take initiatives to offer M&M as micro-equity finance to poor women entrepreneurs. Originality/value So far, limited studies have been carried out on M&M-based microfinancing. This paper offers new insights presenting disadvantaged women entrepreneurs’ perception of these financing instruments.