What is Debt Financing?
·538 words·3 mins
Debt financing involves borrowing capital rather than selling ownership. This article explores the mechanics of debt, the trade-offs with equity, and the risks of leverage.
Debt Financing
What is a Loan Covenant?
·530 words·3 mins
A loan covenant is a rule attached to debt financing. This article explains the types of covenants, financial ratios, and the consequences of tripping a technical default.