1min snip

The Knowledge Project with Shane Parrish cover image

#190 Brad Jacobs — How To Build a Billion Dollar Company: The Unconventional Playbook

The Knowledge Project with Shane Parrish

NOTE

Maintaining Manageable Debt Levels for Business Sustainability

During times of economic slowdown, high leverage can lead to bankruptcy due to the inability to repay debt. To ensure financial stability, it is advisable for companies to maintain a healthy debt level, typically around one to two turns of EBITDA. Additionally, short-term increases in leverage can be managed through strategies like generating free cash flow and selling assets to pay down debt. Ultimately, a good CFO focuses on managing profits and debt levels to ensure the company's financial health and sustainability.

00:00

Get the Snipd
podcast app

Unlock the knowledge in podcasts with the podcast player of the future.
App store bannerPlay store banner

AI-powered
podcast player

Listen to all your favourite podcasts with AI-powered features

Discover
highlights

Listen to the best highlights from the podcasts you love and dive into the full episode

Save any
moment

Hear something you like? Tap your headphones to save it with AI-generated key takeaways

Share
& Export

Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more

AI-powered
podcast player

Listen to all your favourite podcasts with AI-powered features

Discover
highlights

Listen to the best highlights from the podcasts you love and dive into the full episode