Bankruptcy in Cairns - Will I lose my business if I go bankrupt?

When people in Cairns come to me looking to talk about Bankruptcy, they are always loaded with questions. The internet has plenty of information, but far too much of it is baffling or contradicts itself, so I make it my mission to try and make it more clear. One of the most simple considerations is 'Will I lose my business if I declare bankruptcy?' The short answer is no. If you are a manager of a business any shape or size you can maintain your business if you wish to. In Cairns, businesses that eventually are insolvent have a few options for instance liquidation, voluntary administration and so on. It's people who go bankrupt not companies.

Bankruptcy is a complicated area so get some professional advice on this one if you have a business. Generally speaking, the financial obligations in a business and personal debts go together when a business owner goes bankrupt. There are several crucial implications for directors of companies when it pertains to Bankruptcy in Cairns: A bankrupt can not be a director of a company, so if you have a pty ltd company you will need to resign as a director once you're bankrupt.

A limitation that applies when you are bankrupt as a business owner is that you may be in your very own business as a sole trader only. There are things you have to reveal as a part of that but in essence you can still run your business. For some business owners, bankruptcy impacts their ability to run the business because of the licensing issues. Such as, if you run a building company, your license will be suspended once you're bankrupt and consequently you can no longer trade without that license, so make sure you are asking the best questions when it comes to licenses and Bankruptcy in Cairns.

However if your business is not impacted directly by such issues, then you'll need to restructure the way you run your business. There are considerations when and if you go bankrupt as a business owner: you can not acquire heaps of debt in your business, then go bankrupt and after that open the doors the next day like nothing had happened. There are laws in place to stop what is called phoenix companies popping up out of the ashes of an old company.

Having said that, it's just a point of speaking to the right people about Bankruptcy. Here in this circumstance you may think you need a liquidator for your business, and you could be right, but keep that in mind every liquidator is varied and have their own motives. Liquidators make money from your liquidation - heaps of money - so what advice do you believe you will get?

When it comes to Bankruptcy, I think that giving generic advice in this area is potentially damaging as it can have very serious implications for directors and business owners. This is considering that it is one of those cases where what the right advice for one business owner is the wrong advice for the other. There are some basics however, that you may benefit from. There is no limitation to the size of the business you run even though you are bankrupt. You can employ staff. You can continue to deal with your companies under certain conditions, the main one being you will need to meet the payment terms agreed upon.

So when it concerns Bankruptcy, don't get extremely uneasy about what you can and can't do as a business owner, just get the appropriate advice ... If you need to learn more about what to do, exactly where to turn and what questions to ask about Bankruptcy, then feel free to call Bankruptcy Experts Cairns on 1300 795 575, or visit our website: .bankruptcyexpertsCairns.com.au.

Bankruptcy in Cairns - Will I lose my business if I go bankrupt?

When people in Cairns come to me looking to talk about Bankruptcy, they are always loaded with questions. The internet has plenty of information, but far too much of it is baffling or contradicts itself, so I make it my mission to try and make it more clear. One of the most simple considerations is 'Will I lose my business if I declare bankruptcy?' The short answer is no. If you are a manager of a business any shape or size you can maintain your business if you wish to. In Cairns, businesses that eventually are insolvent have a few options for instance liquidation, voluntary administration and so on. It's people who go bankrupt not companies.

Bankruptcy is a complicated area so get some professional advice on this one if you have a business. Generally speaking, the financial obligations in a business and personal debts go together when a business owner goes bankrupt. There are several crucial implications for directors of companies when it pertains to Bankruptcy in Cairns: A bankrupt can not be a director of a company, so if you have a pty ltd company you will need to resign as a director once you're bankrupt.

A limitation that applies when you are bankrupt as a business owner is that you may be in your very own business as a sole trader only. There are things you have to reveal as a part of that but in essence you can still run your business. For some business owners, bankruptcy impacts their ability to run the business because of the licensing issues. Such as, if you run a building company, your license will be suspended once you're bankrupt and consequently you can no longer trade without that license, so make sure you are asking the best questions when it comes to licenses and Bankruptcy in Cairns.

However if your business is not impacted directly by such issues, then you'll need to restructure the way you run your business. There are considerations when and if you go bankrupt as a business owner: you can not acquire heaps of debt in your business, then go bankrupt and after that open the doors the next day like nothing had happened. There are laws in place to stop what is called phoenix companies popping up out of the ashes of an old company.

Having said that, it's just a point of speaking to the right people about Bankruptcy. Here in this circumstance you may think you need a liquidator for your business, and you could be right, but keep that in mind every liquidator is varied and have their own motives. Liquidators make money from your liquidation - heaps of money - so what advice do you believe you will get?

When it comes to Bankruptcy, I think that giving generic advice in this area is potentially damaging as it can have very serious implications for directors and business owners. This is considering that it is one of those cases where what the right advice for one business owner is the wrong advice for the other. There are some basics however, that you may benefit from. There is no limitation to the size of the business you run even though you are bankrupt. You can employ staff. You can continue to deal with your companies under certain conditions, the main one being you will need to meet the payment terms agreed upon.

So when it concerns Bankruptcy, don't get extremely uneasy about what you can and can't do as a business owner, just get the appropriate advice ... If you need to learn more about what to do, exactly where to turn and what questions to ask about Bankruptcy, then feel free to call Bankruptcy Experts Cairns on 1300 795 575, or visit our website: .bankruptcyexpertsCairns.com.au.