Most lenders want to see a debt-service coverage ratio of at least 1.25. But, lender requirements will vary depending on the type of business loan and lender you select.

How do we determine what the DSCR is? For example, let’s say that the debt to service ratio for a mortgage is $100,000 annually and the lender wants a debt service coverage of 1.2.

Fixed-charge coverage ratio. A measure of a firm's ability to meet its fixed-charge obligations: ... divided by total debt service (annual principal and interest payments).

The Interest Coverage Ratio, often abbreviated as ICR, is a financial indicator that gauges a company’s capacity to pay the interest on its outstanding debt.

Rent is central to a landlord’s borrowing costs, especially when their property is financed with a debt-service coverage ratio (DSCR) loan. Understanding how DSCR works may offer renters ...

Debt-service coverage ratio (DSCR) looks at a company's cash flow versus its debts. The ratio is used when gauging a business's ability to pay off current loans and take on future financing. If ...