Carryover debt is last season's operating debt that didn't get paid off and gets carried into the new year.
Carryover debt is unpaid short-term operating debt from a prior production cycle that remains outstanding and is carried forward, often signaling cash-flow stress.
Carryover debt can be a warning sign to lenders that an operation didn't generate enough to cover its costs, and it affects future borrowing.
An operating loan not fully repaid after a poor season may become carryover debt.
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