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foxbat
Junior Member
184 Posts |
 Posted - 25 May 2008 : 22:25:00
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Hi please help if you can I am trying to get my head around the whole bankruptcy issue. I am self employed as a sole trader who is currently struggling to repay both personal & business depts. Bankruptcy is an option for me if business does not improve very soon as I have no major assets other than the leasehold business.
After looking at the statement of affairs I am confused. If business worsens and I had to file for bankruptcy I would have to cease trading therefore I would be totally reliant on my wife and family financially hopefully for a short while whilst finding new employment. On the income and expenditure forms my income and expenditure would be 0 as I don't and never have receive any benefits from anywhere. Please could someone clarify this for me as I'm confused.
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melanie_giles
Senior Member
1191 Posts |
Posted - 25 May 2008 : 22:29:45
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Are you on the verge of making an application for bankruptcy, or have you considered other options? Is there a core profitable part of your business which is just being dragged down due to the ongoing debt repayments, or are you trading at a loss?
If you have no income, then you would need to record this as such on the income and expenditure statement which accompanies your bankruptcy application.
For an informal chat about any financial difficulties, or advice as to the options available, I can be contacted via my website - www.melaniegiles.com |
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foxbat
Junior Member
184 Posts |
Posted - 26 May 2008 : 07:43:01
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| Hi Melanie thank you for your reply, in answer to your question the business is currantly trading at a loss with both business and personal debts mounting up and I have been hoping that business will improve but this is not the case so far. My family have been helping me to survive so far but they can no longer sustain this. I need a new start in life and this seems to be the only way. |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 26 May 2008 : 08:28:50
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Hi foxbat
I have recently gone BR and so know what you're going through in that respect.
Once the decision is made and you acknowledge the debts just aren't going t go away then you've already taken your first step to being debt free.
BR is not the easy way out but if like me you have had months of debt worry it really is a fresh start.
Good luck!
Vicki x |
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foxbat
Junior Member
184 Posts |
Posted - 26 May 2008 : 10:39:20
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thanks vicki,
Sometimes feel your alone in this sea of debt but finding this site has given me hope knowing I'm not the only one and knowing that there are people who really want to help not just put you down. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 26 May 2008 : 10:44:42
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| Hey foxbat, I am in the same position as you. I have been holding on to a failing business making a loss, using credit to live on and relying on family financial help. You should be proud that you are doing something about this and I wish you all the luck in the world. As Vicki says, it will be a fresh start. Keep posting as this site offers excellent advice and support. Viki X |
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melanie_giles
Senior Member
1191 Posts |
Posted - 26 May 2008 : 12:46:46
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If the business is trading at a loss, and there is no sign of an improveement, then you would be better off closing it down and looking for regular paid employment. If you have no assets which then would be affected by bankruptcy proceedings, this is one option to deal with your debts, but there are others you may wish to consider depending upon circumstances.
For an informal chat about any financial difficulties, or advice as to the options available, I can be contacted via my website - www.melaniegiles.com |
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JulianDonnelly
Junior Member
United Kingdom
325 Posts |
Posted - 29 May 2008 : 10:40:12
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Hi Foxbat,
Is the trading loss due to you taking money out to pay debts (ie. if you had no debts, would the business be profitable?). I would suggest calling the helpline who should be able to advise you further.
Regards
Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk |
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trying to get my head around bankruptcy issue
