Understanding Debt Service Coverage Ratio (DSCR): A Key Metric for Investors
Introduction to Debt Service Coverage Ratio (DSCR) The Debt Service Coverage Ratio (DSCR) is a crucial financial metric used primarily by investors and lenders to assess an entity’s ability to meet its debt obligations. By evaluating this ratio, stakeholders can gauge the financial health and operational efficiency of borrowers, whether they are individuals or corporations.
