2020年12月2日 · To deleverage is to reduce outstanding debt without incurring any new debt. The goal of deleveraging is to reduce the relative percentage of a business's balance sheet funded by liabilities....

At the micro-economic level, deleveraging refers to the reduction of the leverage ratio, or the percentage of debt in the balance sheet of a single economic entity, such as a household or a firm. It is the opposite of leveraging, which is the practice of borrowing money to acquire assets and multiply gains and losses.. At the macro-economic level, deleveraging of an economy …

2025年2月19日 · Deleveraging occurs when a firm reduces its financial leverage (debt) by raising capital, selling off assets, and/or cutting spending where necessary. Deleveraging strengthens balance sheets...

Deleveraging is a process undertaken by a company to reduce the amount of total debt. It is an extreme measure carried out by an entity to pay off its obligations and existing debt on its balance sheet. If the company cannot deleverage in time, it may face the risk of defaulting on their payments or going into bankruptcy.

Deleveraging is defined as the process where an organization slashes down its debt or financial leverage by either selling its assets or raising equity capital. The prime goal of deleveraging is to curtail the proportionate percentage of the balance sheet of a business funded by its liabilities.

2024年12月10日 · Deleveraging is how a business reduces its financial leverage or debt by generating money, disposing of assets, and/or making required cutbacks. It aims to lower the proportion of a company's balance sheet supported by liabilities. Excessive systemic debt reduction can result in a financial slump and collapse.

2021年4月21日 · Deleveraging essentially comes down to reducing debt. More specifically, it means reducing the relative percentage, or the absolute dollar amount, of a balance sheet funded by debt. It can be accomplished either by generating more cash or selling off assets such as real estate, stocks, bonds, divisions, subsidiaries, etc.

2024年10月17日 · Deleveraging means reducing the use of borrowed money (or leverage). Many companies or governments take debt to finance growth, expand their operations, or invest in new opportunities. This borrowed money, or leverage can help them grow faster than they could if they only used their money.

DELEVERAGE meaning: to reduce a company's borrowing in relation to its share capital: . Learn more.

To repay a company's debts in order to make it more attractive to investors. Companies acquire leverage (or debt) to expand operations in the most efficient way possible. However, acquiring too much debt may increase the company's risk so that it may be in danger of default or bankruptcy. Deleveraging reduces these risks.