Bankruptcy is not the most uplifting, topic. But it’s something every business owner has to think about. Today on the show we discuss 5 ways you can avoid the worst.
- Sell some assets
If your business is drowning in debt their may be some ways to lessen that load. If you own property, cars or stocks you can use those to pay down some of that debt. That’s going to be a lot better than a bankruptcy trustee doing it for you.
- Pay down debt
Instead of waiting for your creditors to bang down your door be more proactive. Reach out to those who you owe and try and make alternate arrangements. They may be more receptive than you realize.
- Talk to your creditors
If you’ve ever gone bankrupt or know someone who has often creditors get nothing at the end of the day. And if your creditors know that then they might be amenable to actually helping you do to avoid bankruptcy and might actually work with you to pay back your debts over time. So ask your creditors to help you be honest with them. Don’t put your head in the sand. The ostrich approach never works!
- Talk to your friends
You might want to consider approaching family or friends to put some money forward to help you avoid bankruptcy. If you’ve got a family member or friend that could help you out – just ask them.
- Take action
You need to make sure that you get talk to these people and make sure that you come to an agreement. Depending on the credibility, you might be able to come to an agreement to pay back a portion of your debts.
#bankruptcy #insolvency #creditors #business #entrepreneurs
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.