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That is feasible. The chapter 7 trustee will liquidate any remaining assets the business has, and will look into any preference payments that may have been made outside the normal course of business. All the business debts will discharge.
You are correct, any personal guarantees will survive the bankruptcy, so you will need to make arrangements with them.
Do you have any questions?
do i need to file the chapter 7. Since it has been 2 years, are the preferential payments a consideration? How much would you charge to handle the case? I am currently keeping the coporation "acctive" because of the loan. The bank has been very patient and is still only charging 4%
I have not filed for chapter 7 since the bank has been very cooperative, only charging me 4% I figure has long as the corp is "active" they will be patient. Are preferential payments a consideration after 2 years. Are my payments on the loan considered preferential.
No, they would not be, the key is if they were in the ordinary course of business, so if you have been paying on this for some time, and was for business, then they wouldn't have any issue.
any other questions?
thank you for your question, good luck to you and your business
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