Good types of debt, Consider though, the importance of a

Good types of debt

Reference no: EM13745560

Without zero working capital, does the money have excess to invest? It seems that the business is essentially living paycheck to paycheck without any room for financial growth, or benefit to the owners. I think I may misunderstand the meaning of zero working capital, but it does not sound like something advantageous. I do understand what you mean though about not having liabilities or debts, as the company is always running on what it does have, instead of what it does not.

Consider though, the importance of a business having debts. Although most people think of debt as a bad thing, debt can also be seen as a good thing as there are good types of debt. Debt can also help build credibility and creditworthiness. Do you agree? How can a business build its creditworthiness without having any type of financial obligations to be compared to? What are your thoughts on this.

Reference no: EM13745560

Questions Cloud

Value of foreign stocks in an investment portfolio : Discuss the value of foreign stocks in an investment portfolio. Do you want them? If so, which ones? Do you diversify the classes as you would domestic stock?

Assignmrent on operations management and productivity : Hard Rock chefs are modifying the menu from classic American burgers and chicken wings to include higher-end items such as stuffed veal chops and lobster tails. Just as taste in music changes over time, so does the Hard Rock Cafe, with new menus, ..

Evaluate the degree and quality of care in us hospitals : Evaluate the degree and quality of care established within 18th Century U.S. hospitals, as compared to the level of care seen in today's hospitals

What are reasons general robert e lee took work to the north : what are reasons General Robert E. Lee took the work to the North?

Good types of debt : Consider though, the importance of a business having debts. Although most people think of debt as a bad thing, debt can also be seen as a good thing as there are good types of debt. Debt can also help build credibility and creditworthiness. Do you..

Why hitler ignore dutch wish to remain neutral during war : Why did hitler ignore the dutch wish to remain neutral during the war?

Write one pages on genetically modiefied food : Write one pages on genetically modiefied food

In what ways do the contrasts between the two decades : In what ways do you find this comparison persuasive? In what ways do the contrasts between the two decades seem greater than the similarities.

User Account

All Pages