what is a good debt service coverage ratio 
generally speaking the higher the better but business lenders will usually want to see a ratio of at least 1 25 a debt service ratio of 1 for example means that a company is devoting all of its available income to paying off debt a precarious position that would likely make further borrowing impossible companies can also have a debt service coverage ratio of less than 1 meaning that it costs them more to service their debt than they are generating in income however a business in that situation might not survive for long 