Sample: 1589 family owned SME and 485 non family owned SMEs.
There is a difference between family owned and non-family owned SMEs.
Variables used: size, age, cash flow, debt, interest paid, expenditure on research and dev, risk and labour productivity.
Survival of family owned SME is increased by cash flow and labour productivity and is restricted by debt, interest paid and risk.
Survival of non-family owned SME depends on size, age, debt, R&D expenditure and cash flow. The later with less important as for family owned.
According to Gujarati & Porter (2010) when the correlation coefficients between independent variables are above 50%, the problem of colinearity becomes significant.
The article measures elasticity of each independent variables.
