Research on the Influencing Factors and Optimization Strategies of Enterprise Capital Structure

Abstract

At present's enterprise's financial Management System, The Capital Structure at the heart of its entire process and plays an essential role in Business Efficiency and Profitability. A reasonable capital Structure will be able to optimise resource allocation in an enterprise, lower financing expenses for enterprises, make full use of financial Leverage in practice to increase the Profit level of the enterprise. Given that changes in the economic Environment and an improved Capital Market have made it necessary to make scientific Adjustments to capital Structure as a means to ensure enterprise profitability. This paper combines the actual development of enterprises, discusses the problems in capital structure, analyzes common influencing factors, and makes scientific optimization strategies, so as to support the long-term healthy development of enterprises on the basis of controlling financial risk.