I am an owner of a computer repair shop. I have been open for 8 years. About three years ago I went out of state suddenly for a funeral and ended up staying for about a month for support. When I got back my business was hurting because I had not planed on being gone that long. I took cash advances to catch up. It has went down hill since then. I have been able to meet my bills for the last three years, but it is getting harder and harder ever month. This month I don't think I am going to be able to pay. Most of the debt is from my business cards and in my name only. My husband did not sign for any of them. My husband has been able to help me once in a while,but he is supporting all our home life, since all my profits are going to credit cards and overhead. He has helped me somewhat, but I am getting nowhere. Please advise. My business debt is about 30,000. I have closed a lot of my accounts, but business is down and I am having a hard time paying. My questions are: Do I have to close down my business? Should I look into bankruptcy? If I do file for bankruptcy does my husband go down with me? I am not INC. I want to pay my debts I just need a break on some of the payments. I have looked into some debt counsling, but am leary of getting ripped off. I have heard horror stories about some of these companies. I don't want to close my business down.. Please advise what my first step would be? I am not late yet, but will be by the end of this month... I do not want to close my business, because it does fairly well, but the bills are eating me alive...
Talk to a bankruptcy attorney. I believe that Chapter 11 is the equivalent of Chapter 13 for businesses. It allows you to restructure. But I don't know if you have to be incorporated or not, which is why I said check with an attorney.
First thing i would do is to take a deep breath,have a good breakfast.Now your relaxed. 1.Take paper pen,write down each card and say can i pay this down and whats the lest i can pay.Do each account.Put your figures together and start calling the cc companies explain your problem and ask for a hardship program. 2.The ones that will work with you get paid first.Whats left over should go to getting back on track,anything left over will go back to paying the cards.If you can come up with a plan it might impress your creditors to work with you.
Thank-you, it is hard not to panic. I am 49 years old and have always respected my debt. I will write my accounts down and try to breath. I am most concerned about my business. I am too old to go out and find a job. I have built a good customer base. I don't want to lose it. Thank-you for your advice.
