<span>Bankruptcy
</span>
Bankruptcy is likely the most extreme danger of excessive business debt. In a sole proprietorship, your business finances are not separate from your individual finances, meaning you could face personal bankruptcy. For other common business set-ups, if you cannot meet the repayment requirements of your lenders, they may eventually force you into bankruptcy. This typically means the end of your business, or at least the end of your ownership. Your business assets may be seized to allow creditors to recover some of their money.
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Limited Flexibility
</span>High debt leverage is less severe than bankruptcy but often a signal of impending doom. This means you have too much debt and your debt ratios show difficulty keeping up with your short-term and long-term debt obligations. This makes you susceptible to late fees, default and eventually bankruptcy. It also makes your business unattractive to prospective lenders or creditors. This gives you limited flexibility to find new financing or to buy new equipment or supplies on credit. New investors may also have concerns about your high debt.
<span>Poor Profits
</span><span>Even if your business stays afloat, too much debt leverage makes profitability difficult to achieve. Your business has fixed monthly expenses for building costs and labor. You also have variable costs of production or operations and sales. When you add high monthly principal and interest payments, bringing in enough revenue to make substantial profits becomes unlikely. Plus, if you cannot pay down debt quickly, you carry it longer and pay more in interest over time. Without profit or funding sources, you also cannot expand or grow your business.</span>
In cross sectional research, a researcher compares multiple segments of the population at the same time.
<h3>What is cross sectional research?</h3>
It is a type of research design in which data are collected from many different individuals or segments.
This data are analyzed at one specific point and time.
Therefore, a cross sectional researcher compares multiple segments of the population at the same time.
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Answer: You need to define Key performance indicators (KPIs)
Explanation: key performance indicators (KPIs) are used to focus on and drive performance improvement.
Low labor market participation is one of the element of the U.S. economy's current configuration that belief of its greatest weaknesses.
<h3>Why is the low participation in the labor market a weakness for the United States?</h3>
A large decrease in labor force involvement rates has been assigned for much of the labor force insufficiency. In the early time period of the pandemic, labor force participation plumped as many businesses closed.
In the United States, The economy is capitalized, and there is huge requirement for the labor but due to the location issue, US economy's current configuration that is regarded as one of its most serious flaws.
Therefore, Low labor market participation is one element of the U.S. economy's weakness.
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