[Yugocean]

Companies take loans from banks for their businesses and repay them with interest when they make a profit. Pay attention to their debt before investing in them.

When you buy shares of a company, it means that you are buying some stock in that company. Therefore, in the profit of that company, you get profit on your investment, and in the loss of that company, your investment suffers loss. So don't buy shares of a company that is heavily in debt, because even if the company earns a profit, it will use that profit to repay the debt. And if it doesn't make a profit, then your investment is gone too.

[JASPREET]

This is the main thing that we need to do before investing

[nela13]

I wonder how do we know if a company has debts before investing in it? It seems logical that if the company has debts it isn't a good one to buy shares.

[Vehlijanta]

I wonder how do we know if a company has debts before investing in it? It seems logical that if the company has debts it isn't a good one to buy shares.

Market study and market research can help us. This is my guess

[Treborika]

Yes I think the challenge is that how do you get to know about if the company is in debt or not.

[Xynehappy]

This is somehow a great advice to the person's that are willing to make in investments in stocks. I however not ready for that now.

[Vehlijanta]

I also like to know how you can find if which company is under how much debt

[augusta]

I wonder how do we know if a company has debts before investing in it? It seems logical that if the company has debts it isn't a good one to buy shares.

This is the problem here knowing about the right company that don't have high debt to invest in then

[astutimeliana723]

Companies take loans from banks for their businesses and repay them with interest when they make a profit. Pay attention to their debt before investing in them.

When you buy shares of a company, it means that you are buying some stock in that company. Therefore, in the profit of that company, you get profit on your investment, and in the loss of that company, your investment suffers loss. So don't buy shares of a company that is heavily in debt, because even if the company earns a profit, it will use that profit to repay the debt. And if it doesn't make a profit, then your investment is gone too.

Yes, that's right, very good advice. That is why investors must analyze a company's financial statements before deciding to invest, in order to make informed decisions and not make the wrong choice when investing.

[augusta]

This is why it is good to use an expert to do the investment to know it is no ailing company

[eldavis]

Before making any investment, make sure you have gone through the company's record. How have they been fairing all this while. In the market what is their records and how do they manage debts?

[Inem]

Company's financials are always published every business year on national dailies.