Imagine being the owner of a small business and being deep in debt. You are considering filing for bankruptcy, but you really want to keep your business running. This situation is quite common and knowing what to do can be the hardest thing. Discussing your debts and business with a Professional Bankruptcy Attorney Belleville IL will help you decide if filing for bankruptcy is an option for you and if you will be able to keep your business once you do
The first thing to consider is your profit. If you are not making a profit, you need to examine if you have been losing money on a regular basis and can’t contribute the loss to a slow period or something temporary. If this is the case, you more than likely need to close the business and walk away. If you are making a profit, but business has been slow because of the economy, for example, you may be better off if you keep your business running and wait for more profitable days to come. You should also consider your liabilities and assets. If you have more assets than liabilities, you may be in a good position to keep the business running. However, if you are upside down in your business, more liabilities than assets, you should probably cut the losses and close down.
Once you have the big picture of your financial situation, you need to consider your liability before filing bankruptcy. A Bankruptcy Attorney Belleville IL can help you determine what you are responsible for. If you are responsible for your company’s debts, you may consider keeping your business running as long as you do not acquire more debt. This will give you time to negotiate with creditors and if it works out, you will save your business and pay off your debts. If you are responsible for the business debts and close down your business, creditors can come after your own personal assets if the business doesn’t have enough to cover its liabilities.
You just need to sit down and discuss your business and your situation with your lawyer. They will be able to help you consider every aspect of your situation and make the best choice on whether or not to file for bankruptcy.