192 - 5 Ways To Avoid Bankruptcy

Business Legal Lifecycle Podcast

Bankruptcy is not the most uplifting, topic. But it’s something every business owner has to think about. Today on the show we discuss 5 ways you can avoid the worst. Sell some assets If your business is drowning in debt their may be some ways to lessen that load. If you own property, cars or stocks you can use those to pay down some of that debt. That's going to be a lot better than a bankruptcy trustee doing it for you. Pay down debt Instead of waiting for your creditors to bang down your door be more proactive. Reach out to those who you owe and try and make alternate arrangements. They may be more receptive than you realize. Talk to your creditors If you've ever gone bankrupt or know someone who has often creditors get nothing at the end of the day. And if your creditors know that then they might be amenable to actually helping you do to avoid bankruptcy and might actually work with you to pay back your debts over time. So ask your creditors to help you be honest with them. Don't put your head in the sand. The ostrich approach never works! Talk to your friends You might want to consider approaching family or friends to put some money forward to help you avoid bankruptcy. If you've got a family member or friend that could help you out - just ask them. Take action You need to make sure that you get talk to these people and make sure that you come to an agreement. Depending on the credibility, you might be able to come to an agreement to pay back a portion of your debts.