Corporate Debt

Corporate debt refers to money that a company borrows to fund its operations, growth, or other projects. It typically involves issuing bonds or taking loans, which the company promises to repay with interest over time. This borrowed money helps companies expand without giving away ownership stakes. Managing corporate debt carefully is vital; too much debt can strain finances, while an appropriate level can facilitate growth. Essentially, corporate debt is a tool companies use to finance their activities, balancing the benefits of borrowed funds against the obligation to repay.