I am a self employed entertainer. One of the restrictions in bankrupcty or in a BRO/BRU is that "You must disclose to those you do business with the name under which you were made bankrupt" If I am trading under the same name do I have to do this. If I have to tell everyone who phones me about a potential booking that I am bankrupt or have been bankrupt, this will not only be embarassing and I don't think they would book me. I am not asking for any credit from these clients and most of them pay me at the performance. Some may send me a small deposit, would this be a problem.
No this would not be a problem. Where you have to disclose in self employment is more to do with where trade creditors are concerned. As an entertainer I fail to see that your customers would benefit from knowing of your BR or suffer if they didn't know. With the possible exception that they may prefer not to pay a deposit but "C.O.D." as it were.
You should not be taking deposits from clients while you are an undischarged bankrupt or subject to a BRO/BRU. If you are taking no credit from them, there is no need to declare your status as they are taking no risks. However, if you are intending to take a deposit from them, you should declare you status to them.
I am not bankrupt or subject to a BRO/BRU Yet, just thinking ahead.
I never used to take deposits and I now only take a small deposit of £10 for private birthday parties. The main reason for this was because some clients would book me then and then let me down a little nearer the date, or they would not even show up at the venue. It did not happen very often but I have had fewer cancellations since taking deposits. Some clients even insist that they send me deposits.
If I did not ask for deposits would it still be acceptable to still send the clients an agreement to sign with a cancellation clause.
I would adhere to all the rules in bankruptcy or in a BRO/BRU but I would think that you be less of a risk when bankrupt in taking deposits then just prior. I have always honoured any agreement with a client since being in business during the last 6 years, so I am unlikely to change in bankruptcy.
BRO/BRU question in self employment
Posted - 27 July 2008 : 13:00:11
