Modelling Credit Risk for SMEs: Evidence from the U.S. Market

By Edward I. Altman, G. Sabato. 2007

628 citations recorded by the source corpus.

View Paper: https://www.semanticscholar.org/paper/db3f07b87d15eea3f9d14455537fee17153c890d

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Citations in the corpus

Measuring Securities Litigation Risk (2012, neutral): “It is common in the accounting and finance prediction literature to use arbitrary cutpoints such as 0.5 (e.g., Ohlson, 1980) or 0.3 (Altman and Sabato, 2007).21 However, 20 The McFadden pseudo R2 is based on the ratio of log likelihoods and has the desirable feature of varying between 0 and 1.”
European trade credit use and SME survival (2018, methodology): “By drawing on models of bankruptcy and financial distress in SMEs (Altman and Sabato, 2007 and Gupta et al., 2015) we complement and extend existing analysis of trade credit during periods of financial constraint.”
The Value of Non-Financial Information in SME Risk Management (2008, methodology): “First, we test the Altman and Sabato (2007) SME model on a geographically different sample (UK companies) including an extremely high number of small companies (5.8 million) covering a very recent economic period (2000-2007).”
The differential impact of leverage on the default risk of small and large firms (2020, background): “…Jarrow, 2004, Campbell et al., 2008, Giordani et al., 2014 and Traczynski, 2017) and for small firms (Edmister, 1972, Altman and Sabato, 2005 and Altman and Sabato, 2007) none, to our knowledge, has investigated the differential impact of leverage and its components on the default risk of these…”
Forecasting SMEs' credit risk in supply chain finance with an enhanced hybrid ensemble machine learning approach (2019, methodology): “(1) The SMEs’ credit risk influencing factors of SMEs that are self-oriented Scholars argue that information asymmetry is the root cause of SMEs’ credit risk (Altman and Sabato, 2007, Altman et al., 2010, Chen et al., 2010, Li et al., 2016, Song and Zhang, 2017, Stiglitz and Weiss, 1981).”
Crowdfunding social ventures: a model and research agenda (2013, background): “…to a certain amount of people) of a company’s equity is highly regulated in most developed countries – the main reasons given to prevent fraud (Altman and Sabato 2007; Hmieleski and Baron 2008) and to enable an efficient market through reducing information asymmetry (Deakins and Hussain…”
The value of non-financial information in small and medium-sized enterprise risk management (2010, positive): “The first model includes only the Altman and Sabato (2007) variables and the second also includes the qualitative information.”
Corporate governance characteristics and default prediction modeling for small enterprises. An empirical analysis of Italian firms (2015, methodology): “Contents lists available at ScienceDirect Journal of Business Research banks to use in-house credit risk evaluation models to quantify their capital requirements, thereby encouraging more accurate monitoring of the quality of their loans (Altman & Sabato, 2007).”