What is Financial Debt?
Financial Debt is a company's non-operational debt. With low interest rates and a supply of lenders, debt in non-financial corporations has steadily risen in the past 15 years, benefitting some companies, but putting others at risk.Alternate names: Gross Debt
How to calculate Financial Debt
More about this metric
A company's non-operational debt may not be critical to a company’s operations. For example, notes payable are written obligations to creditors in exchange for funds and do not have an immediate impact on operations.
That being said, the structure of financial debt can be complex and may lead to serious consequences for the business.
Metrics related to Financial Debt
Net Financial Debt
Net Financial Debt is a company’s non-operational debt that considers cash and short-term securities...
Debt to Equity Ratio
The Debt to Equity Ratio measures how your organization is funding its growth and how effectively yo...