Adjustment of Capital Structure in Dealing With Financial Helplessness in Companies Admitted to Tehran Stock Exchange

Bankruptcy of companies usually brings destructive effects on the capital market and ultimately the economic development of countries. Identifying the effective and underlying factors of financial crises provides the possibility of timely reaction of managers and investors in dealing with the problems and obstacles hidden in the financial structure of companies. The current research has investigated and studied the effect of adjusting the capital structure in dealing with financial helplessness in companies listed on the Tehran Stock Exchange. The statistical population of the present study, according to the criteria set in conducting the research, were the companies registered in the Tehran Stock Exchange, and by applying the method of systematic elimination, 124 companies were screened as a sample, in the period between 1391 and 1400. has been taken Logistic regression was used to test research hypotheses, and at the end, the merit of the selection model, as well as the desirability and prediction accuracy of the model, which is specific to logistic regression, were also tested. The results show that the faster the adjustment of the capital structure increases and the sooner the company achieves the optimal leverage, the faster it can get out of the state of helplessness and financial crisis. Therefore, companies with larger size, greater growth, and less deviation than companies without the mentioned characteristics adjust their capital structure more quickly.