Jaroslav Belás

Faculty of Management and Economics, Tomas Bata University in Zlín, Czech Republic

belas@fame.utb.cz

Important factors of financial risk in the SME segment

Ján Dvorský

Faculty of Management and Economics, Tomas Bata University in Zlín, Czech Republic

j1dvorsky@fame.utb.cz

Ján Kubálek

Department of Business Economics, University of Economics

Praha, Czech Republic

kubj10@vse.cz

Luboš Smrčka

Department of Business Economics, University of Economics

Praha, Czech Republic

smrckal@vse.cz 

Abstract. The aim of the article is to define and quantify the significant factors which influence the intensity of financial risk, and to compare the perception of financial risk among groups of entrepreneurs in the SME segment according to their motivations for starting a business. In relation with the aims defined under this research, we carried out a survey of the entrepreneurial environment of SMEs in 2015, using a sample of 1,141 respondents (the owners of the enterprises). We used Z-score and regression analysis to assess our hypotheses. The results of our research confirmed that the attitude towards financial risk is determined by the following factors: CRM (Correct risk management by entrepreneurs), CFR (The influence of credit risk during a crisis), and SFS (Sufficient funds for SMEs). The entrepreneurs who started their business because they considered it to be their mission answered more frequently that they can correctly manage financial risk in their companies in comparison with the entrepreneurs who started their business for money. The difference was statistically significant. Our research also confirmed that entrepreneurs who started their business because of money perceived the effects of crisis on their company’s financial risk more intensely. 

Received: June, 2017

1st Revision: September, 2017

Accepted: December, 2017

DOI: 10.14254/2071-8330.2018/11-1/6

JEL Classification: L26

Keywords: motivation, financial risk, entrepreneur, mission, money, risk management