The very word bankruptcy seems to clearly denote a financial malaise of sorts; the fact is, however, that it can be a very sensible solution that places a business in a better position to correct some missteps and resume on the path to profitability. You may hear of celebrities and companies declaring bankruptcy; it is […]
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Many businesses must ask: “Is it better to file bankruptcy or debt settlement?”, and the answer depends on your operation; DebtSettlement.co points out, with debt settlement, you’ll have to: “Set aside funds…during debt settlement negotiation to pay…creditors once your debt settlement company…negotiates a lower balance.”
Small businesses can face numerous challenges. From clients who make late payments to months when sales are slow, there are many issues that can make your small business drown in debt. The good thing is that you can save your small business by coming up with a good strategy to deal with debt. Here are […]
You don’t need to be a financial expert to see that the economy is struggling. Disposable income is dwindling for many households struggling with rising food costs, energy bills and below-inflation pay rises, pay freezes or even cuts.
Tips on How to Avoid Bankruptcy from our Project Campfire community.
In 2009 it was Eric’s turn to be laid off which could have been okay if not for the $60,000 he accumulated in credit card debt. As you would expect with no job and a high-interest loan of $60,000 this part of Eric’s life ended up in bankruptcy.
When it comes to business bankruptcies, the numbers seem to loom larger with every year. From 2005 through 2008, annual business bankruptcies increased by over 200%. In the years 2009 and 2010, business bankruptcies were more than double for the years 2006 and 2007.
Small businesses, often sole proprietorships or partnerships, are as vulnerable to bankruptcy if not more so, as large ones. Small businesses may be defined as individual units providing products or services, having a small investment and employing few employees.
Bankruptcy can be filed for by both individuals and businesses when they are unable to pay off debts and there is no other option left to explore. Bankruptcy offers protection from creditors and the federal court ensures that its decisions are in the best interests of the debtor and the creditors.
The stigma attached to bankruptcy and the economic and financial repercussions following bankruptcy, prove to be the biggest deterrents for filing it in the first place.
Bankruptcy is the outcome of an individual or organization running out of funds, and being unable to make payments for products and services purchased.