The higher the ratio of private equity to debt providers, the higher the equity cushion, the more reliable a sign it is for lenders, the more likely they are to lend to a project. The more I invest, the more you are assured and the more you invest. The more we reap the fruits of our venture.
It takes at least 30 min for me to prepare a good shakshuka, 10 min to eat it. It goes without saying a meal is an undertaking of both the cooking and eating. 3:1 is a high enough cushion, but too high for the undertaking to take place, solo. It takes no convincing to eat. The return on enjoyment too low.
If cooking for two, the total time of enjoyment is 20 min. 3:2 scales down the ratio but scales up the size of the undertaking and thus the total return, thus making it worthwhile.