Although the US economy is performing well, the largest bankruptcies in 2014 are proof that business is not booming for everyone. Some businesses did not manage to survive the year, filing for bankruptcy after realizing they had no other option but to give up. Of course this is a shame for the companies involved, as well as for their former employees, who are going to have to find new jobs.
Some might wonder what factors brought about the largest bankruptcies of the current year, and if they could have been avoided somehow. Well, the reasons businesses fail are various, but in most cases, an excessive debt-burden and a lack of ability to meet payment obligations are the main factors that force companies to close shop. Regarding what could have been done to avoid this situation is another matter completely. After all, it is simply the natural flow of capitalism, which requires some firms to fail, while others enjoy success. If this were not the case, then everyone would start their own business, whilst there would be no motivation to improve, expand, or invest.
Entrepreneurs are always aware of the risk they are taking when pouring their hard-earned money into a company. Thus, those who invested in the firms which experienced the largest bankruptcies in 2014, cannot act like they were unaware of the stakes. Naturally, everyone likes to keep their hopes high and not contemplate the worst-case scenario, yet this does not translate to an absence of risk.
In a previous article we presented you with the 12 largest bankruptcies in US history, and due to the interest it provoked amongst readers, we decided to make a more specific list. Hence, it is time to focus on the present and let you know which were the largest bankruptcies in 2014. The following ranking was determined according to the sum of the pre-petition assets belonging to the firms involved, and includes companies from a wide range of industries. Although this might not be the brightest of topics, we still hope to interest you in learning more about the firms presented on the list.