If you’re trying to decide whether or not to file for bankruptcy, you’re NOT alone. Nearly every business owner has had to decide whether to either file for bankruptcy or to keep putting money into their business venture. Throughout this difficult time, keep in mind that filing for bankruptcy is not necessarily synonymous with surrendering your business. In fact, in some cases, filing for bankruptcy can actually help your business. At Lucé Evans Law, we specialize in business law; we’ve outlined the basics of bankruptcy below.
Filing for bankruptcy can often be a great way to regroup, and even re-think your business strategies and goals. If you need time to pay off debts and recalibrate, then you may want to consider filing. After all, when you’ve take the time, money, and energy to start your own business, then you owe it to yourself to take some time to think things over before throwing in the towel.
So, how do you know when to file for bankruptcy? To start, you can ask yourself the following questions:
- Is my business making a profit? Do you find yourself tunneling deeper and deeper into debt, or are you actually making some money (even if only a little)? If you find yourself consistently losing money, it’s probably time to file for bankruptcy.
- Am I personally responsible for business debts? If you have a chunk of business debts under your own name, you may be better off keeping your business running. That way, creditors will not go after your personal assets.
Get in Touch with Lucé Evans Law Today
For further advice and counseling on bankruptcy, or to learn more about business law, get in touch with a business lawyer at Lucé Evans Law. You can give us a call at (972) 632-1300, or contact us online. We’re always happy to offer our quality assistance and legal expertise.