Doesn't this depend on your profit margin, which I suspect is larger for cupcakes than muffins... If you sell $40k of cupcakes that cost $39.5k to make, credit risk is much more of an issue than if they cost $20k to make.
Agreed, but generally there is an opportunity cost associated with any risk.
You just have to decide if you are ready to lose the opportunity if you don't want to take the risk. I know it sounds unfair, but unfortunately that is how things work in the real world.
If there was no risk associated with opportunities, then the number of people who be would competing for an opportunity will go up by a large number. Nature puts filters to keep the size of the game limited.
