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Terry L.
Terry L., Attorney
Category: Bankruptcy Law
Satisfied Customers: 2900
Experience:  Better Business Bureau. 18yrs bankruptcy experience. Chicago Bar Assoc. American Bankruptcy Institute member.
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I in a partnership and my bussiness,home are all tied up. We

Customer Question

I in a partnership and my bussiness,home are all tied up. We are 30 day behind and we want to keep our bussiness but bill are piling up. We need to reorganise. Is the help to give us time?
Submitted: 7 years ago.
Category: Bankruptcy Law
Expert:  Terry L. replied 7 years ago.
Since your personal assets are tied into the business, you are on the hook, regardless if the business doesn't do well. Therefore, you should contact your vendors to work out the matter. You can possibly file chapter 11 for the business (or CHapter 7 if closing) but you will still be personally on the hook for the business because of the lien on your home and the guarantees. If you file a personal bankruptcy, the lien on the home will remain, unless you wish to surrender the home, let it foreclose. Only then would you be able to get out from all of the personal guarantees unless the creditor is willing to let those go. Sorry, but you don't have a lot of good options unless you want to walk away from everything. best to work it out directly with your creditors. Good luck.
Customer: replied 7 years ago.
We just need time to keep on going. what type of action should we look at?
Expert:  Terry L. replied 7 years ago.
Negotiating with the creditors should be your first step. If no progress there, then you can look into a chapter 11.