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wallstreetesq., Attorney
Category: Business Law
Satisfied Customers: 17222
Experience:  10 years, Corp litigation, Of Counsel to several global and nationwide corporation
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I own an electrical contracting business and this economy has

Resolved Question:

I own an electrical contracting business and this economy has had a major negative impact on it, I have turned in trucks (voluntary repossesion) and have large credit card debts that I am unable to pay. I have made changes/adaptions to my business in an effort to survive so I want to keep the business open. My question is can these creditors freeze my bank account and force me out of business. I can live with judgements against myself and the business, but I cannot operate of my checking account is frozen.
Submitted: 7 years ago.
Category: Business Law
Expert:  wallstreetesq. replied 7 years ago.
are the credit cards in your name or the business also do you have a separate corp account?
Customer: replied 7 years ago.
Some are in my name, but the bulk are in the corporations name, including the vehicles.
Expert:  wallstreetesq. replied 7 years ago.
do you have checks and all income going into your name or the corp?
Customer: replied 7 years ago.
Corporations name
Expert:  wallstreetesq. replied 7 years ago.
create two corps, for example one for your name so you can deposit checks that come in your name into a corp account with a different tax id, where collectors cannot freeze.

You can incorporateCustomerllc, this way checks in that corp would go into the new account. The prior debts of the corp, cannot go after them. If your name is XXXXX XXXXX create a separate corp as john doe llc or john doe family llc or c corp, and put your personal funds into that account.

Then you will be for the most part protected from collections.
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