The Financial Leverage Calculator is an essential tool for businesses and financial professionals seeking to evaluate their company’s use of borrowed funds and financial risk position. This powerful calculator helps you determine your organization’s debt-to-equity ratio and overall financial leverage, providing crucial insights into your capital structure. By analyzing these metrics, you can better understand how effectively your company is using debt to increase potential returns and assess the associated financial risks. Financial managers and analysts can use this tool to make data-driven decisions about borrowing strategies and capital allocation. Whether you’re planning future investments or evaluating current debt levels, our calculator provides the clarity you need to make informed financial decisions.
Use the Financial Leverage Calculator by entering assets, liabilities, and both short- and long-term debt; it instantly returns your debt-to-equity ratio. A U.S. non-financial corporation carried an average ratio of 0.64 in 2023 (Federal Reserve, 2024). Knowing where you stand helps you gauge risk, compare with peers, and fine-tune capital structure decisions.
