There is no such option as "VBS" that I can see in vSphere 6.7 I believe this is actually an issue because of using old hardware in this case L5420 doesn't support Nested Virtualization I believe.
Hardware virtualization is selected and cannot be deselected due to selection of VBS
Insufficient resources to satisfy configured failover level for vSphere HA.
vmware, hardware, virtualization, selected, deselected, vbs, insufficient, satisfy, configured, failover, vsphere, quot, doesn, nested,