Small Board Listed Company Dividend Policy Based On Life Cycle Theory

Dividend policy is one balance between investors and companies. It has great influence to the investors's profit and the enterprises'future. The study of this theme started very early abroad, and has formed a rich theory and ideology. The life-cycle theory of dividend policy just emerged, the articles based on this theory are mainly about the main board, but less about the SME board, so I choose this theory to study that if the life-cycle theory can explain the dividend policy of the listed companies from the SME board.I choose the dividend policy date from 2004 to 2009 as research samples, use the logistic and liner regression to examine whether the life-cycle theory can explain the listed companies from the SME board. We find that the companies'characteristics are different from 2004-2006 to 2007-2009, So the study period is divided into 2004-2006 and 2007-2009 two periods. We conclude that, the life-cycle theory can't explain the probability of paying cash dividend and the ratios of dividend payout of the listed companies from the SME board. The profitability, firm size, the proportion of tradable shares and asset-liability ratio has relationship with the probability of paying cash dividend. The sustainable growth rate, the proportion of tradable shares and asset-liability ratio has relationship with the ratios of cash dividend payout. And the results are analyzed in detail. At last we give some advices.