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Ellen
Ellen, Attorney
Category: Bankruptcy Law
Satisfied Customers: 36714
Experience:  Bankruptcy Lawyer. Experienced.
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Due to death of my husband, I ended up with ownership of 3

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Due to death of my husband, I ended up with ownership of 3 companies in Florida. With no business coming in, I need to end. Bankruptcy has been suggested as all three are corportions. THe businesses have debt via SBA loans which have my home as guarantee. Can I dissolve, do I have to bankrupt or are their other options?

Did you co-sign the loans?

The loans are secured against your home- correct?

Your home has a mortgage of 80k and a value of 20K or 20K in equity ?

Customer: replied 8 years ago.

Yes, co-signed SBA loans.

SBA is secured against home.

No equity. If it sold, it might sell for $100K which might give $20K that could go towards the other. One more detail....each business has a SBA loan so there are 3 SBA loans totaling $120K. Each loan is $40K.

Hello,


Thank you for your question. I am happy to assist you.


Based only on the information contained in your post, you may be a good candidate for a Chapter 7 bankruptcy.


In a Chapter 7 bankruptcy most debts are discharged (forgiven). This would mean that you could walk away from your home and corporations without recourse of a deficiency judgment.


You do not necessarily have to file separate chapter 7 bankruptcies for the corporations. Instead you could just list all potential creditors of the corporations in your personal petition.


I hope that this has fully answered your question, however if it did not, please post me back.


Best wishes for a successful outcome. If you have additional questions, please do not hesitate to submit them to me directly.


Thank you,
FLAandNYLAWYER


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