The development of telecom technology has a profound impact on the academic lives of the students. Smartphone usage became popular to young generation because of its educational and entertaining options by using the numerous applications. Among the young people, students are increasingly using Smartphone. But excessive Smartphone usage usually makes the students addicted to it and that impacts on user's academic performance, daily activities, physical and mental health, withdrawal tendency, and social relationships. This study aims at identifying the factors that affect the level of Smartphone addiction to the students and its impact on their overall academic performance. 956 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P)http://www.ijmp.jor.br v. 8, n. 3, July -September 2017 ISSN: 2236-269X DOI: 10.14807/ijmp.v8i3.629A structured questionnaire has been developed to gather data from the students. A total of 247 questionnaires were collected from the business students of a private university of Bangladesh. Using Structural Equation Modeling (SEM), data were analyzed. Results revealed five Smartphone addiction factors such as, positive anticipation, impatience, withdrawal, daily-life disturbance, and cyber friendship.Factors like increased impatience and daily-life disturbance were found significantly related to the academic performance of the business students of Bangladesh. This study suggests that the students should reduce the intense use of Smartphone for smoothly doing their daily-life activities.