Demand Side Analysis of Microlending Markets in Germany

Kritikos, Alexander S.; Kneiding, Christoph; Germelmann, Claas Christian

doi:10.2139/ssrn.1491048

Cited by 4 publications

(5 citation statements)

References 27 publications

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“…However, it should be emphasized that Kohn and Spengler (2008) report of a similar acceptance rate of loan applications. The same holds true for acceptance rates when the same questionnaire was in East Germany, see Kritikos and Kneiding (2008).…”

Section: Overview Of Descriptive Statisticsmentioning

confidence: 70%

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Demand Side Analysis of Microlending Markets in Germany

2009

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In developing and transition economies, microlending has become an effective instrument for providing micro businesses with the necessary financial resources to launch operations. In the industrialized countries, with their highly developed banking systems, however, there has been ongoing debate on the question of whether an uncovered demand for microlending services exists. The present pilot study explores customer preferences for microlending products in Germany. Among the interviewed business owners, 15% reported revolving funding needs and an interest in microloans. We find that potential recipients of microloan products are retail business owners, foreign business owners, and persons who had previously received private loans. Furthermore, financial products should feature rapid access to shortterm loans.

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Section: Overview Of Descriptive Statisticsmentioning

confidence: 70%

“…22 Interestingly, in the East-German sample also business owners from the service sector were interested in microloans. This is the only difference in the observations between West-and East-Germany, see also Kritikos and Kneiding (2008).…”

Section: A Model For Determining Target Group Membershipmentioning

confidence: 88%

Demand Side Analysis of Microlending Markets in Germany

2009

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“…At the moment the most often discussed alternative is a major increase of microloan offers to the meet the demand in this loan segment. As shown in Kritikos, et al (2009), this loan type has some advantages versus consumer loans. While similarly flexible as overdrafts, the major advantages of microloans are that this loan type provides business owners with a legal access to a more reliable business loan, allows the firm to develop a credit history and keeps risk from directly affecting the household, while it is similarly flexible as consumer loans.…”

Section: Discussionmentioning

confidence: 99%

Funding Self-Employment: The Role of Consumer Credit

Kneiding¹,

Kritikos

2012

SSRN Journal

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. www.econstor.eu The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E SIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author. This paper investigates whether self-employed households use consumer loans -in particular instalment loans and overdrafts -to finance business activities. Controlling for financial and non-financial household variables we show that self-employed households particularly use personal overdrafts significantly more often than employee households. When analyzing the correlation between consumer loan take-ups and consumption of selfemployed in comparison to employee households, we find first evidence that overdrafts are used by self-employed to finance their business as well. This indicates that intermingling constitutes a financing strategy when regular business loans might not be accessible.JEL Classification: G32, D12, D14

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“…Die maßgeblichen Kräfte zur Schaffung von neuen Arbeitsplätzen für abhängig Beschäftigte, darauf deuten viele Indizien hin, scheinen eher aus dem Bereich der innovativen Klein-und Mittelunternehmen -sowie natürlich im Sektor der Großunternehmen -zu liegen. Kritikos (2009): Die reformierte Gründungsförderung für Arbeitslose -Chancen und Risiken. Perspektiven der Wirtschaftspolitik, 10 (2), 189-213.…”

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“…Perspektiven der Wirtschaftspolitik, 10 (2), 189-213. -Caliendo, Marco und Alexander S. Kritikos (2010): Gründungen aus der Arbeitslosigkeit:…”

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