Attributes of financial management of family companies in the Czech Republic and Slovakia

Abstract

The aim of the research is to define and compare important attributes of financial management of family small and medium-sized companies (SMEs) in selected regions of the Czech Republic and Slovakia. The majority of SMEs in the Czech Republic and Slovakia has a character of family companies. These companies have been established on the basis of family capital. Preferable family member worked in them and these companies are managed also preferable by them. In this context, SMEs sector in the Czech Republic and Slovakia may be perceived as the sector of family companies. As the part of this focus, the dependence of financial risks’ perception, relationships with commercial banks, the ability to manage financial risks and the level of entrepreneurial optimism depending on company’ age, owner’s education and company’s size have been examined. Research of entrepreneurs’ opinions in Zlin Region (Czech Republic) and Zilina Region (Slovakia) has been examined in 2013. These regions have similar economic parameters and are distant from each other only few kilometers. Results of our research proved that it cannot be definitely confirmed but neither rejected that financial risk’s perception in Czech and Slovak enterprises is different within a defined groups, i.e. depending on company’s age, owner’s education and company’s size. © Springer International Publishing Switzerland 2015.