Rising corporate debt can trigger further financial crisis.

Low interest rates by FED since the

last financial crisis has led the corporations to borrow more money.
One disadvantage of corporate debt is that the payments of interest
and principal must be made in time and the firm needs to have
enough cash flow in time to manage that. Another disadvantage is
that the cost of debt starts increasing after a certain leverage ratio
due to increased risk. Another disadvantage of corporate debt is
that the company needs good credit rating to secure a debt.
Another disadvantage is that there may be need of collateral to get
a loan. Failure to make a payment in time adversely affect the credit
rating is another disadvantage of corporate debt. Another
disadvantage is that failure cost may be high in the form of penalty
and higher interest charges occur. One last disadvantage is that
when the performance of the company is not good, the equity
shareholders will get no or minimal return and causing the stock
price to go down.