How to Use Debt to Build Wealth | Leverage Explained

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  • เผยแพร่เมื่อ 27 ธ.ค. 2024

ความคิดเห็น • 190

  • @LeilaGharani
    @LeilaGharani  11 หลายเดือนก่อน

    Master Financial Analysis in 30 Minutes! 🚀
    Start our FREE course now and learn the basics fast. No strings attached! 👉 link.xelplus.com/yt-free-finance-basics

  • @sarimmehtabhasan7249
    @sarimmehtabhasan7249 3 ปีที่แล้ว +5

    "working with other people's money, improved your ROE" Been struggling to understand Financial Leverage for weeks and this video did it in minutes.. Thanks a million, will definitely look at your other videos.

    • @LeilaGharani
      @LeilaGharani  3 ปีที่แล้ว

      Excellent! Glad it was helpful.

  • @Better_callMe
    @Better_callMe ปีที่แล้ว

    This video explained the concept in such an easier way than most other videos on youtube! Thank you!

  • @adi19671129
    @adi19671129 4 ปีที่แล้ว +3

    I am glad that I came across your youtube channel! Your simplicity in explaining frightening facts for others makes my mind at rest and understanding.

    • @clarityg7758
      @clarityg7758 5 หลายเดือนก่อน

      bro is glazing

  • @TylerStanczak
    @TylerStanczak 4 ปีที่แล้ว +26

    Love these financial videos! Really helpful information Leila :)

  • @robertcorwen4820
    @robertcorwen4820 4 ปีที่แล้ว +1

    Leila, I discoved your channel only recently, and I must admit you are really good at what you do! Keep up the good work!

  • @jaynefranzinoromero5877
    @jaynefranzinoromero5877 ปีที่แล้ว

    Very clear. Great to use such a simple model. This is why some businesses go under, but do not see the cliff.

  • @AnandTN1
    @AnandTN1 4 ปีที่แล้ว +2

    You are awesome as always, Leila. It helps me to understand business finances better. Thanks and Cheers!

  • @tarekalsherif57
    @tarekalsherif57 4 ปีที่แล้ว +2

    Simple and clear as always expect from you, thank you Leila

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว +1

      You're very welcome, Tarek 😊

  • @sachinrv1
    @sachinrv1 4 ปีที่แล้ว +6

    Nutshell, impulsive purchases made on borrowed money will put a big dent in your income / assets, resulting into lesser net worth in the long term. Thanks for this lovely video :) Cheers :)

  • @oscarcohn
    @oscarcohn 4 ปีที่แล้ว +4

    Excellent video! A very easy way to understand this subject. Congratularnos, keep doing this.

  • @HusseinKorish
    @HusseinKorish 4 ปีที่แล้ว +1

    For me as an accountant ....i really preciate and like this video ... Thanks Leila

  • @MarwanAShareef
    @MarwanAShareef 4 ปีที่แล้ว +8

    Wonderful, you make it easy and clear... Thanks for your hard work

  • @newcomersf
    @newcomersf 4 ปีที่แล้ว +1

    Very good explanation on leverage, its up and downsides. Great for people without financial background, robust explanation.

  • @vijaygusain119
    @vijaygusain119 4 ปีที่แล้ว +1

    although I am not from the commerce background but I am sure you are a guiding light for many entrepreneurs out there....God Bless you😇

  • @godwinademolaoyebamiji6792
    @godwinademolaoyebamiji6792 3 ปีที่แล้ว

    This is a great asset to me by listening to your teaching... Leila keep it up!

  • @thedon8210
    @thedon8210 4 ปีที่แล้ว +5

    As always, great job! You rock!! Thank you so much, for all your tutorials!

  • @pravinr197
    @pravinr197 3 ปีที่แล้ว

    Your explanation about the debt is amazing. It will be useful for the investors to choose companies which are debt free.

  • @shakthiatukorala595
    @shakthiatukorala595 4 ปีที่แล้ว +1

    Nice tutorial with a nice example. I really like your examples. Waiting for another one...
    Thanks...!

  • @SalimaBadalova
    @SalimaBadalova 4 ปีที่แล้ว +2

    Thank you so much! Could you please make more finance related videos? I love how you present everything in the simplest way

  • @pardeeparya9986
    @pardeeparya9986 4 ปีที่แล้ว +3

    Thanks madam, what a great explanation.

  • @dmotaroki
    @dmotaroki 4 ปีที่แล้ว +1

    That was a simple and super helpful explanation.

  • @armansh7978
    @armansh7978 2 ปีที่แล้ว

    as always you are the best and amazing Leila :)

  • @joeysalomon4137
    @joeysalomon4137 3 ปีที่แล้ว

    your explanation of financial leverage is very helpful. Thank you.

  • @staypositive4358
    @staypositive4358 4 ปีที่แล้ว +1

    Very interesting move from Excel videos to finance coming from someone with a degree in finance and who works in asset management. Looking forward to see where this leads your channel. Cheers!

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว +1

      We do have several others already in the Finance and Accounting playlist in case you're interested.

    • @staypositive4358
      @staypositive4358 4 ปีที่แล้ว

      @@LeilaGharani . Thanks!

  • @irajabaly
    @irajabaly 3 ปีที่แล้ว +1

    this is a clearly explained and very useful video for business Thank you so much

  • @wayneedmondson1065
    @wayneedmondson1065 4 ปีที่แล้ว +2

    Hi Leila. Great lesson! Leverage can be friend or foe, depending on skill, timing and luck. Good to keep in mind. Thanks and Thumbs up!!

  • @siciidxuseensucuudi9750
    @siciidxuseensucuudi9750 4 ปีที่แล้ว +7

    Great move from excel to finance
    The best presenter

  • @fazalkalanad
    @fazalkalanad 3 ปีที่แล้ว

    Awesome as always. I am your fans!👏👏👏

  • @chrism9037
    @chrism9037 4 ปีที่แล้ว +2

    Very informative thanks Leila!

  • @vijayarjunwadkar
    @vijayarjunwadkar 4 ปีที่แล้ว +1

    Leila, you have an incredible ability to simplify and explain concepts which works in every subject! Thanks for this video which made me understand Financial Leverage so easily! And you have a nice attire here to add more charm! 😊👍

  • @rchavezc67
    @rchavezc67 3 ปีที่แล้ว

    Excelent work as always, Leila is the best!

    • @LeilaGharani
      @LeilaGharani  3 ปีที่แล้ว

      Thank you very much, Roberto!

  • @jasonipfatsiong2062
    @jasonipfatsiong2062 4 ปีที่แล้ว +3

    Many thanks, appreciated. And best wishes 2021

  • @irfan_ahmed_2023
    @irfan_ahmed_2023 4 ปีที่แล้ว +2

    Excellent explaining with Case Study Images, Bravo Madam Leila, big fan from 🇵🇰 Pakistan.

  • @nadeemmalik8031
    @nadeemmalik8031 4 ปีที่แล้ว +1

    You're amazing Leila. A really great tutorial on debt with a well explained example.

  • @alaaaqeeqi7084
    @alaaaqeeqi7084 ปีที่แล้ว

    Great Video with fantastic examples!

  • @ageloskolaitis7821
    @ageloskolaitis7821 4 ปีที่แล้ว +1

    Very well explained! And to make it more complex, the company has also to pay the repayment of debt other than interest.

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว +1

      Exactly! Debt ratio is important for any business.

  • @BaljeetSingh-nk8ww
    @BaljeetSingh-nk8ww 3 ปีที่แล้ว

    Thanks Leila for explaining it in a simple way :)

  • @aichujohnson8444
    @aichujohnson8444 3 ปีที่แล้ว

    Thank you for explaining this in simple and clear terms.

  • @IceBreaker1
    @IceBreaker1 4 ปีที่แล้ว +1

    Great stuff, Chief. Thanks much.

  • @amvro23
    @amvro23 4 ปีที่แล้ว +3

    Excellent topic!

  • @pranavp.s8344
    @pranavp.s8344 3 ปีที่แล้ว

    Please do more of these financial videos..Very helpful

  • @andoxcv
    @andoxcv 3 ปีที่แล้ว

    Darn, this makes me highly educated about financial perspective!!! Keep them coming Leilani 🤗🤗🤗

  • @danielkayombo3829
    @danielkayombo3829 3 ปีที่แล้ว

    Thank you. Great Insights.

  • @SecurityCraftsman
    @SecurityCraftsman 4 ปีที่แล้ว +1

    Always love your explanations. Going to use this one to teach my kids about the finer points of using loans.

  •  3 ปีที่แล้ว

    Great knlowledge delievered in a soothing tone and beautiful accent!

  • @seazonegranec
    @seazonegranec 4 ปีที่แล้ว +3

    This is a good topic, thank you

  • @williamwatersiiimba2333
    @williamwatersiiimba2333 4 ปีที่แล้ว

    Hello Leila,
    Excellent video! You make finances sooooo easy to grasp and understand. This motivates people to act, which in turn gives people the tools needed to improve their lives, their families lives and others. What a God send! Please keep up the spiritual work!
    Bill

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      Thank you for the kind feedback, Bill!

  • @joeyparra3937
    @joeyparra3937 ปีที่แล้ว

    Damn Leila your channel is my new obsession. Thank you! "Gharani University" 😆

    • @LeilaGharani
      @LeilaGharani  ปีที่แล้ว +1

      Glad to have you aboard! 😁

  • @venkatiyer7459
    @venkatiyer7459 4 ปีที่แล้ว +1

    Good Evening Mam ... As usual I always gain if I watch your videos ... Thanks a lot ...

  • @Pfumoreropa
    @Pfumoreropa 3 ปีที่แล้ว

    Absolutely love this channel!

  • @कृष्णाय808
    @कृष्णाय808 4 ปีที่แล้ว +1

    Please more fin related videos, very thorough explanation, hats off to you

  • @allbaugh04
    @allbaugh04 3 ปีที่แล้ว

    I think world travel was one of my most inspirational moments in my life and pushed me further along to my path to success. I'd say the vast majority of the time you shouldn't go into debt for time off, yet i grew leaps and bounds by doing it. I've told young people if they want to take on debt that it can be worth it for the experience that you will cherish and look back on your whole life. And it's something to work towards once you experience it.

  • @mazin91
    @mazin91 4 ปีที่แล้ว +1

    great and simple explanation as always. thank you very much.
    just a small feedback, there is an extra noise which is distracting. maybe you need to do something with the mic to quiet this noise.

  • @massimoriggio6297
    @massimoriggio6297 3 ปีที่แล้ว +1

    You are an endless source of knowledge and also a beautiful woman.

  • @josecarlosconejo5724
    @josecarlosconejo5724 4 ปีที่แล้ว +1

    Really good video. Very didactic. I wish the average citizen was really aware or more conscious about this (not to talk about politicians). Running a business wisely takes things like what show in the video. Poor financial education standards (at least in many countries) lead people to take really bad business and personal decisions which they regret for a lifetime. I’ve seen this more often than I would have liked to. To me the solution is clear: to teach financial fundamentals at school. Education + wisdom + perseverance = success. Many thanks 🙏

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว +1

      I absolutely agree José! Some essentials in finance and accounting should be part of any education.

  • @rajunaidu7751
    @rajunaidu7751 4 ปีที่แล้ว +7

    brains and beauty

  • @nirajbarot6698
    @nirajbarot6698 4 ปีที่แล้ว +6

    You are very good speaker and presenter, are you shifting your core expertise from excel to equity.

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      Thank you! I have several videos on finance and accounting because I strongly believe that everyone should have a basic understanding of these topics.

  • @humanoidbudgies5460
    @humanoidbudgies5460 3 ปีที่แล้ว

    Hi Leila, your videos are really valuable assets for us..

    • @LeilaGharani
      @LeilaGharani  3 ปีที่แล้ว

      Glad you think so, Kishor!

  • @financialleverage7101
    @financialleverage7101 2 ปีที่แล้ว

    awesome video well done!

  • @TheFinancialController
    @TheFinancialController 4 ปีที่แล้ว

    This is why more folks now put smaller down payments on home, and invest the rest in stocks, making ~7% annually there vs. the 3% interest cost on home loan.

    • @guhreenskittles
      @guhreenskittles 4 ปีที่แล้ว

      Great tip!! I’ve been saving for a 20% down payment but I haven’t considered if I were to the invest the money instead

  • @jaynefranzinoromero5877
    @jaynefranzinoromero5877 ปีที่แล้ว

    Leila, what online business would you recommend as a viable source of income? Shopify, Amazon? Both incur so many fees that some people say they are working for $2.00 (USD)/hour, which may not be terrible if it's a self-automated business. Wondering if you have a video on it? We would trust your advice.

  • @jessetenkorangaddo4299
    @jessetenkorangaddo4299 4 ปีที่แล้ว

    I am in love with you Leila... Your elegance and eloquence is magical. 💥💥🌟 😀I have never understood any topic cos I get carried away all the time while staring at you.

  • @arielspalter7425
    @arielspalter7425 4 ปีที่แล้ว

    What about paying the principal? The lemonade stand example talks about paying interest only.

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว +1

      Absolutely! The example is about profitability but we talk about the balance sheet and paying the principal at 07:35.

    • @arielspalter7425
      @arielspalter7425 4 ปีที่แล้ว

      @@LeilaGharani Thanks Leila, I will watch it again. Thanks for all the excellent content you put out!

  • @calvinfort35
    @calvinfort35 4 ปีที่แล้ว

    Love the video!

  • @cl8wnm5n
    @cl8wnm5n 3 ปีที่แล้ว

    Well done.

  • @akshaydevadiga3037
    @akshaydevadiga3037 ปีที่แล้ว

    Thank you❤

  • @mcd22630
    @mcd22630 4 ปีที่แล้ว +1

    I can think of a number of fortune 500 CEOs who must have been completely oblivious to the concepts explained in this video.

  • @nithyananthan_s09
    @nithyananthan_s09 4 ปีที่แล้ว

    Very good info

  • @immadahmed1230
    @immadahmed1230 3 ปีที่แล้ว

    Kindly explain IFRS 9 too 😊

  • @hsiraj22
    @hsiraj22 4 ปีที่แล้ว

    Very good video

  • @freedomtownn
    @freedomtownn 3 ปีที่แล้ว

    thank you so much!!!!!

  • @darkshinigami9438
    @darkshinigami9438 4 ปีที่แล้ว +2

    When will the accounting video series resume?

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      We are planning a few videos for this year. Did you have anything particular in mind?

    • @darkshinigami9438
      @darkshinigami9438 4 ปีที่แล้ว

      @@LeilaGharani I think there were videos about inventory methods : LIFO, FIFO planned among others

  • @middlemanceo
    @middlemanceo 2 ปีที่แล้ว +2

    Bad Debt is debt that You pay back
    Good Debt is debt someone else pays back for you 💯

  • @anwarsadek7466
    @anwarsadek7466 3 ปีที่แล้ว

    so helpfull

  • @alexanderkutsarov1344
    @alexanderkutsarov1344 3 ปีที่แล้ว

    Hi guys, maybe its a stupid question but how do you get to a Net Income of - 18 ?

  • @harrykaththotage9631
    @harrykaththotage9631 3 ปีที่แล้ว

    Hi Leila thank you for the detailed explanation. Really helped me to get my head around the leveraging concept. In your opinion what would be a good Equity/Debt Ratio ? how would you rate a company who has a equity/asset of 1.0 vs 0.75 vs 3.0? your insights are greatly appreciated :)

  • @srinivasanbalan2469
    @srinivasanbalan2469 4 ปีที่แล้ว

    Thanks for the video, if we are discussing debt and equity, instead of only ROE, we should also take into account the debt to equity ratio. This way, no one loses any money as an investment, and beware of the high leverage. Thoughts?

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      Absolutely! Debt ratio is a very important factor. Thanks for your feedback!

  • @wessamh1975
    @wessamh1975 4 ปีที่แล้ว +1

    I like your style today

  • @trueindian2108
    @trueindian2108 4 ปีที่แล้ว +1

    Make video on international taxation.

    • @trueindian2108
      @trueindian2108 4 ปีที่แล้ว

      This is request. You are explaining difficult things in such a simple way.

  • @karolina_9873
    @karolina_9873 4 ปีที่แล้ว +4

    Great video 🙂 love to learn about finances and business from women, it's such a breath of fresh air and finally there are more role models to identify with for women like e.g. me. Feels less imposter then. Thank you Leila 👍🏼

  • @hosseinhosseinpoor4845
    @hosseinhosseinpoor4845 3 ปีที่แล้ว

    thanks..

  • @kamranazeem3357
    @kamranazeem3357 3 ปีที่แล้ว

    is leverage or debt both are same terms?

  • @183Rth
    @183Rth 4 ปีที่แล้ว

    isn't the right term is - Return On Investment (ROI), rather than Return On Equity?

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      It's pretty much the same thing. For a single investment like Capex or a project it's usually ROI. But if you're putting equity in a company it's usually ROE.

  • @isnainipanglima
    @isnainipanglima 4 ปีที่แล้ว +4

    extraordinary. each tutorial is very useful and can make my job easier. the point is the knowledge given to this channel is extraordinary. thanks for the tutorial. when do you think I can be like this, please support my friends. you are very extraordinary.

    • @asmawatiibu3032
      @asmawatiibu3032 4 ปีที่แล้ว

      both of them are extraordinary, channel Mr. isnaini panglima and channel Mrs. Leila Gharani.
      Is the best

  • @shawnkhanian5584
    @shawnkhanian5584 2 ปีที่แล้ว

    Please do economics!

  • @luiscanamarvega
    @luiscanamarvega 2 ปีที่แล้ว

    Sooo leverage the business responsibly during good times, tighten up the belt during bad times.

  • @savannihatkar5302
    @savannihatkar5302 3 ปีที่แล้ว

    But what about credit score? If I start using credit cards and I pay bills on time. It's gonna build my credit score and will help me in future getting loans for businesses.
    P. S - I'm in my 20s now

  • @neerajraj9037
    @neerajraj9037 4 ปีที่แล้ว

    Ma'am mujhe Microsoft office 2019 ka setup chahiye.

  • @kuljeetjolly
    @kuljeetjolly ปีที่แล้ว

    When Operating profit for one stand = $2, shouldn't the Net income be $2 - ($5*5) = -$23 and not $18, hence ROE becomes -23%

  • @sjn7220
    @sjn7220 4 ปีที่แล้ว

    To each their own, but I sleep like a baby at night not worrying about debt or making payments. It's all great in a good economy, but good economies don't last forever. Look at everyone struggling with student loans. I believe much of what Dave Ramsey says.

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      For most personal items I agree. I only buy when I can afford it. But if you're buying a home or run a business that requires assets, taking on loans is often the only way.

  • @mikeg1226
    @mikeg1226 3 ปีที่แล้ว

    Holy smokaroos! Am I seeing Leila hit a finance topic. Indeed! I have made some comments on vids and use a lot of the things you talk on all the MS products. I do Mainframe coding but utilize a lot of tools. I have been investing in etfs, mutual funds, and stocks like crazy the past several months. Leila, you need to double your $ in 3 years. I know you can. ; ) Ive been investing good. I could do better.

    • @LeilaGharani
      @LeilaGharani  3 ปีที่แล้ว

      Thanks Mike! I'll do my best :)

  • @rajsahu1029
    @rajsahu1029 4 ปีที่แล้ว

    Great

  • @aaqibazeez7474
    @aaqibazeez7474 4 ปีที่แล้ว

    Higher Loan ....100% Business cannot stand in LONG RUN

  • @jonhoward4884
    @jonhoward4884 4 ปีที่แล้ว

    I'm in love.

  • @marcedwards2464
    @marcedwards2464 10 หลายเดือนก่อน

    Beauty 🌹and the 🧠 brains

  • @vijaysahal4556
    @vijaysahal4556 4 ปีที่แล้ว

    you are amazing medam

  • @JDL891
    @JDL891 4 ปีที่แล้ว

    No more Google Sheets videos on a Tuesday?

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว

      We'll mix it up a bit. Did you have anything in particular in mind for Sheets?

    • @JDL891
      @JDL891 4 ปีที่แล้ว

      @@LeilaGharani Hmm. You have put me on the spot now. Maybe some of the Dynamic Array formulas sheets has.

  • @reecedennis9188
    @reecedennis9188 4 ปีที่แล้ว +3

    Very nice 😍💋 💝💖♥️❤️

  • @timwood101
    @timwood101 4 ปีที่แล้ว

    Leila, your excel tutorials are outstanding and I’ve followed you and increased my knowledge. Not sure why you’re doing this though. I would think your audience is very high intelligence if they follow your excel and this felt very basic. And why are you doing it. I look forward to your new tutorials and would want to filter these out. How about a different TH-cam channel for your finance tutorials so that audience can enjoy what they subscribe to see?

    • @LeilaGharani
      @LeilaGharani  4 ปีที่แล้ว +1

      Excel will always be a major part of this channel. But I do have several other topics. If you're only interested in Excel then please tune in Thursdays which will mostly be about Excel :)