Abstract: This research aims to analyze the relationship between specific financial ratios and the level of financial distress risk in startup companies in Indonesia. A quantitative approach with a cross-sectional design will be utilized as the research framework. In order to select an appropriate sample, the purposive sampling approach will identify relevant startup companies to represent the studied population. Meanwhile, data will be obtained from financial statements and other supporting resources. The three primary financial ratios under focus are debt-to-equity ratio, activity ratio and EBITDA ratio. Linear regression statistical method will be the main tool to test the significance and direction of the relationship between the identified financial ratios and financial distress risk. Through in-depth analysis, this research is expected to provide valuable insights for startup stakeholders, investors and financial institutions. The contribution of this research lies in explaining how financial factors play a crucial role in influencing financial stability within the dynamic economic context of Indonesia.