FAQ

What is company debt?

Company debt refers to the financial liabilities and obligations of a business to its creditors, which can include unpaid bills, loans, and other financial commitments.

What are the different types of company debt?

Types of company debt can vary, including secured and unsecured debt, short-term and long-term debt, and revolving and non-revolving debt.

What are the consequences of company debt?

Excessive company debt can have negative consequences, including a decrease in credit score, difficulty in obtaining credit, legal action from creditors, and potential bankruptcy.

How can a company manage its debt?

Managing company debt can involve various strategies, such as creating a budget, negotiating with creditors for payment term changes, consolidating debts, and seeking professional financial advice.

What are the options for dealing with excessive company debt?

Options for dealing with excessive company debt can include debt restructuring, debt consolidation, debt settlement, and bankruptcy, with each option having its own pros and cons.