Remove Creditworthiness Remove Debtor Remove Manufacturing
article thumbnail

Debt-Service Coverage Ratio: A Useful Financial Measurement for Assessing Future Debt Recovery

Debt RR

However, it may be too rigid to use net DSCR alone when examining an entity’s creditworthiness. For example, real estate or nonprofit entities are very different from traditional commercial businesses like a manufacturing plant or logistics company. Many of these debtors end up left empty-handed, even after expensive litigation.