A study of the economic and financial analysis for social firms: are they really businesses?

The main objective of this research paper is to analyze the economic and financial situation of social enterprises through ratio analysis and show their strengths and weaknesses based on financial data. The sample consists of 118 social companies operating in the Autonomous Community of Madrid in Spai...

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Detalles Bibliográficos
Autores: Gelashvili, Vera, Camacho-Miñano, María del Mar, Segovia-Vargas, María Jesús
Tipo de recurso: artículo
Fecha de publicación:2020
País:España
Institución:Universidad de Murcia
Repositorio:DIGITUM. Depósito Digital Institucional de la Universidad de Murcia
OAI Identifier:oai:digitum.um.es:10201/94562
Acceso en línea:https://doi.org/10.6018/rcsar.361531
http://hdl.handle.net/10201/94562
Access Level:acceso abierto
Palabra clave:Social enterprises
Insertion firms
Sheltered employment centres
Financial and economic analysis
Empresas sociales
Empresas de inserción
Centros especiales de empleo
Análisis económico-financiero
CDU::6 - Ciencias aplicadas::65 - Gestión y organización. Administración y dirección de empresas. Publicidad. Relaciones públicas. Medios de comunicación de masas
Descripción
Sumario:The main objective of this research paper is to analyze the economic and financial situation of social enterprises through ratio analysis and show their strengths and weaknesses based on financial data. The sample consists of 118 social companies operating in the Autonomous Community of Madrid in Spain. For data analysis, economic and financial analysis has been carried out, using ratio analysis and the indicator of financial distress: the Altman Z’-score. Our findings highlight that social companies are businesses with a high level of profitability, especially for their partners. Thus, their survival, on average, is guaranteed in the long-term and their liquidity level is optimum. This study is an important contribution for the academic literature, because it carries out a comparison amongst the two different types of social firms, focusing on their economic and financial structure, diminishing the lack of empirical studies about these companies