How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask dylatess Your Own Question
dylatess
dylatess, Attorney
Category: Bankruptcy Law
Satisfied Customers: 5145
Experience:  37 plus years of experience specializing in bankruptcy law
29685164
Type Your Bankruptcy Law Question Here...
dylatess is online now
A new question is answered every 9 seconds

I am going to have to file for Chapter 7 very soon, but I have

This answer was rated:

I am going to have to file for Chapter 7 very soon, but I have an internet startup idea that may get funded. My question is, can I hire a Lawyer to create a corporation that will accept the investors money, and keep it isolated from me? Or, am I going to have to wait 60-days untill my CH 7 gets finished?

Over 34 years, I have assisted my clients with debt problems having filed more than 32000 Chapter 7 and Chapter 13 Bankruptcy petitions.

It is best to file your personal BK and then pursue your business. That is because, if you form a corporation, you would still be the owner of all of the share or a fraction of the shares if you had partners. And if money is raised, than those shares have a value which becomes an asset of your bankruptcy and must be disclosed.
Customer: replied 4 years ago.

I'll leave a $15 tip...If you can please clarify: If I file for BK say tomorrow, then say 3 weeks later I have investors that want to invest, what happens if I form a corporation during a BK with no money of my own? And, it does take a full 60 days to get a BK finished right? There's no way to speed it up? Thank you!

You are playing with fire if you form a business while you are still in BK so please do not go down this road and wait until the BK is completed whixh takes about 60 days. Likewise, if you do have investors who cannot wait, make sure wherever they deposit their money, that your name is XXXXX XXXXX to that entity.
dylatess and 2 other Bankruptcy Law Specialists are ready to help you

Related Bankruptcy Law Questions