How TMT's Human and Social Capital in Small and Medium-sized Family Business Affect IPO performance?: Exploring the Modulation Effect of the CEO Position and Equity Portion of Founder

This study suggests the human and social capital of top management teams as the signal to influence the IPO performance of family SMBs and investigate the modulation effect of founders’ CEO and the equity ratio of founders on the relationship. For this, this study uses the samples of family SMBs in KOSDAQ in Korea. The results show the followings. First, the educational level in the human capital variables and school prestige and relevant work experience in the social capital variables are shown to be positively associated with IPO performance. However, functional background in the human capital variables has no significance. Second, the results show that the equity ratio of founders partially influences the relationship between the human and social capitals of top management teams and IPO performance, while founders’ CEO has no significance. Finally, we explain the academic contributions and practical implications and suggest the limitations of research and the directions of future research.