If I’m a business owner and I file a bankruptcy, let’s talk about that.

Recently, we had a lot of people, a lot of business owners that are looking at filing bankruptcy and that’s, that’s fine. There’s nothing wrong with being a business owner. And when you look at a bankruptcy, it does not take away your business. It does not make the business worse. It does not stop you from getting business loans in the future. What bankruptcy doe’s, doesn’t get rid of the dollar amount at the bottom of the bill. It gets rid of the name at the top. So if Mike Smith runs Acme company and Mike Smith has taken on so much personal credit card debt paying the bills because he hasn’t been able to pay himself. He works hard, doe’s good work for his clients and all of the clients are happy. His employees are paid. He’s done everything right as a business owner, but there hasn’t been enough left for bike.

At the end of the day, Mike’s in my office. And Mike wants to keep working for his company, working for his clients and his employees, but is maxed and the credit cards. Well, we file a bankruptcy for Mike. We get rid of all that personal debt and that sets him back too, even personally, and allows him to continue operating his business and be bankruptcy doesn’t take the business assets. So Mike owns acne, acne owns stuff. It might be the, you know, the, the ovens, it might be the, all the other equipment of business equipment. Well, that’s not Mike’s that belongs to Acme, and the trustee is not interested in selling a company looking for low hanging fruit to car. It is the bank accounts, the personal stuff that Mike owns that the trustee can sell and use the payback, some of Mike’s credit cards. So in a vast majority of the cases, we just disclose to the trustee here’s Acme. Acme has these assets. Acme has these liabilities got to pay rent, got to pay employees, got to pay all these other things. And so trustees are going to lose money, try to take over that company and so the trustee just ignores it. So Mike ends up wiping out all the credit cards, gets back to Eve continuous running this company and continues to benefit from all of his hard work and success.

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