The study looked at how different types of businesses choose their debt structures based on their profitability levels. They found that less profitable companies tend to specialize more in certain types of debt compared to highly profitable ones. Short-term debts are common for all companies in Pakistan. Larger, riskier, and growing companies with high expenses are more likely to specialize in debt if they are less profitable. The main reasons for specializing in debt are information differences, expected default risk, good reputation, and access to the debt market.