SUMMARY
Objective: The purpose of this study was to analyze the determinants of short-term debt (STD) and long-term debt (LTD) of the companies that make up the B3 SMLL Index in order to identify which theory, trade-off or pecking order better describes the behavior of these companies.Method: Panel data models were used, having as explanatory variables the profitability, risk, size, current liquidity, growth and tangibility of the assets.Relevance: The study stands out by analyzing the adequacy of capital structure theories to the context of smaller capitalization companies listed on the stock exchange of an emerging country.Results: The results showed that the profitability and the current liquidity presented a negative relation with the STD, while the variables size, growth and tangibility presented a positive relation with this variable. In the long run, the variables profitability and tangibility presented a negative relation with the LTD, and the variables risk and size presented a positive relation with this indebtedness measure.Theoretical contributions: The theoretical contribution of the study lies in the fact that, in the short term, pecking order theory was more adequate to describe the choice of indebtedness level, while for long-term indebtedness, there was no predominance of a theory.Contributions to management: In the practical field, the study contributes to point out the relationship between different variables and the decision of indebtedness, which is useful for a more assertive decision-making by investors and managers.