2020 should be a year that reminds many business leaders that excessive debt comes with consequences. According to the Financial Times, since the 1950s, business debt has been dramatically piling up on corporate balance sheets.
With interest rates at an all-time low and considering the tax benefits for borrowing, many CEOs believed accumulating debt seemed reasonable.
Borrowing money at less than 5% when earning a far greater return than that, seemed smart to many. Until the economy came to an unexpected screeching halt.
Proverbs 22 teaches, “Do not be one who shakes hands in pledge or puts up security for debts; if you lack the means to pay, your very bed will be snatched from under you.”
God desires us to trust Him, more than lenders. Avoid excessive debt.
