The Analysis of the relationship between growth rate, bank loans ratio, financial performance and ROI with company's commercial credit

Abstract

The aim of this study was to evaluate the influence of the growth rate, bank loans ratio, financial performance and returns on investment on corporate commercial credit. This study was conducted based on library documents and causal-analytical study (panel data). In this study, the financial information of 104 firms listed in Tehran Stock Exchange during 2008- 2013 was collected. SPSS 20 software was used to analyze the results of the study. Findings show that there is a significant and direct relation between growth rate and companies commercial credit, but there is a negative relationship between the ratio of bank loans and commercial credit. Also, there is a significant relationship between financial performance and commercial credit. There is a direct significant relationship between returns on investment and commercial credit too.