Indian corporates employ a substantial amount of debt in their capital structure in terms of the debt-equity ratio as well as total debt to total assets ratio. Nonetheless, foreign-controlled companies in India use less debt than domestic companies. The dependence of the Indian corporate sector on debt as a source of finance has over the year inclined particularly since the mid-nineties. This paper covered the study of different factors that are affecting capital structure decisions. The review of the literature found that almost ten factors are affecting capital structure decisions, but it is difficult to find out the influence efficiency of them. Therefore, in this paper, researchers tried to find the same through the different statistical tests.

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