Business Commons^™

A comparative study was used to analyze the financing of small businesses, less than 3 years old versus firms 3 years and older in Nebraska. Findings indicate that younger firms will give up partial ownership of their company in exchange for equity financing and managerial assistance significantly more than older firms. New firms were also found to be more willing to give up 100% ownership and a local market in exchange for majority ownership and a national market. Moreover, no differences in startup financing were found between younger versus older firms.