Capital Structure and Financial Performance: Analysis of Selected Business Companies in Bombay Stock Exchange

Abstract

Abstract: Capital structure is most significant discipline of company’s operations. This study constitutes an attempt to identify the impact between Capital Structure and Companies Performance, taking into consideration the level of Companies Financial Performance. The analysis has been made on the capital structure and its impact on Financial Performance capacity during 2009 to 2012 (03 years) financial year of Business companies in India. The results show the relationship between the capital structure and financial performance is having a negative association. It reflects the insignificant level of the Business Companies in India. Hence Business companies mostly depend on the debt capital. Therefore, they have to pay interest expenses much.