Calgarypuck Forums - The Unofficial Calgary Flames Fan Community - View Single Post

Ducay · 03-31-2008, 11:24 PM

I don't think the writer of the article understands how business accounting works, most large corporations have huge amounts of debt, but thats how companies work. If companies didn't take out huge amounts of debt, there would hardly be any growth because there wouldn't be any money to finance it.
The NFL and its franchises being such huuuge corporations with billion dollar revenues, this kind of debt isn't much of an issue when you compare it to the amount these clubs are worth. The debt to equity ratio appears pretty small to me in this case.

03-31-2008, 11:24 PM	#29
Ducay Franchise Player Join Date: Feb 2006 Exp:	I don't think the writer of the article understands how business accounting works, most large corporations have huge amounts of debt, but thats how companies work. If companies didn't take out huge amounts of debt, there would hardly be any growth because there wouldn't be any money to finance it. The NFL and its franchises being such huuuge corporations with billion dollar revenues, this kind of debt isn't much of an issue when you compare it to the amount these clubs are worth. The debt to equity ratio appears pretty small to me in this case.