Why to Consider Debt portion of Companies in Investment

While investing in companies many factors are important people mostly consider their profit ratio or dividend ratio because their main concern is with profit but many others factor are also important which should not be ignore the more important one is the debt portion or liability portion of the company this means that how much finance company depend on banks or other financial institute because this is the only reason where company can move to liquidate or bankruptcy not just that the amount as a interest they have to pay to their creditors which effect the overall company growth and profit that also effect your share of profit many companies increase their debt portion with out any reason just to get the advantages of tax saving so just check their debt portion and make sure the company is not so much leveraged it will help your investment to remain safe and chances to grow further .