Business Acumen Basics
Debt to Equity
The Debt to Equity ratio shows the balance between borrowed funds and owner equity, indicating how much risk a company carries. Within the game, a lower ratio may offer stability, but a well-managed, higher ratio can fuel growth through leveraged investments. Teams must decide how much debt to take on for expansion without tipping the scales too far. Mastering this balance allows players to drive growth while managing financial risk, making the Debt to Equity Ratio a valuable measure of strategy and resilience.
