Daily Fintech Conversations

Why equity investors need a crash course in debt risk.

Originally published at: https://dailyfintech.com/2021/09/15/why-equity-investors-need-a-crash-course-in-debt-risk/

In ye olden days, equity investors could pay cursory attention if any to the balance sheet, focussing attention on more exciting stuff like growth and market opportunity. However, two inconvenient truths today mean that equity investors need to pay attention to the boring old balance sheet: Many companies funded the lack of revenue caused by…