This study investigates R&D spending during the crisis under the moderating effects of leverage capability and organizational forms (multi-business firms versus stand-alone firms). To assess our hypotheses, a sample of 978 firm-year observations (221 multi-business firms) and 4154 observations (821 stand-alone firms) from the 2004 - 2009 period was used. The findings show that, despite being contrary during the stable period, leverage and R&D investment in multi-business firms have a positive relationship during the crisis. It shows that in financially uncertain environments, financial advantages - leverage capability arising from debt coinsurance play a vital part in encouraging firm innovation for multi-business firms, allowing these firms to gain competitive advantages in the race for innovation and technological advancement. In contrast, for stand-alone firm.