<span>Bankruptcy
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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>
The Articles of Confederation were discarded in favor of a stronger more centralized federal government because of problems in governing that were associated with weaknesses of the Articles of Confederation. The Articles failed to allow the national government to collect taxes, resolve inter-state disputes, and govern effectively more generally. Therefore, at the Constitutional Convention they decided to scrap the Articles and write an entirely new Constitution.
All of these played important roles!
The mining industry enabled the excavation of many important and precious minerals which wre later used in differetn technological applciations.
The railroads increased the speed by which things were being transmitted.
The cattle business enabled people to sustain themselves through food.
The homestead act enabled people to become self-sufficient.
Article<span> Two of the United States </span>Constitution establishes the executive branch<span> of the federal government, which carries out and enforces federal laws. It includes the President, the Vice President, the Cabinet, </span>executive<span> departments, independent agencies, and other boards, commissions, and committees.</span>
