The relationship between networks in finance and entrepreneurship

The specialised literature shows that business networks play an important role in the creation and development of business activity. Of particular importance, is the activity of networks in finance to provide the resources that entrepreneurship needs. However, we must also consider the factors that may promote the emergence of these networks in finance. The objective of this paper is to analyse the effects of networks in finance on entrepreneurship, as well as the factors that influence them. A theoretical analysis of relations and an empirical study of 16 Organisation for Economic Co-operation and Development (OECD) countries are developed, considering two types of models according to the entrepreneurship index. The results obtained indicate that there is a positive and significant relationship between networks in finance and entrepreneurship and that institutions that protect property rights and economic growth favour the use of networks in finance.