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T O P I C R E V I E W
johnheap123
Posted - 08 July 2009 : 07:18:22 Hi can anyone help me please? Im in an IVA paid up for 5 months but now by business (S.Employed) is struggling- not been paid for 3 weeks and cant meet my iva payment. i can handle bankruptcy personally as im living with my elderly parent but what implacation does this have on my business? i have 50% share of profit with my partner. I have thought about coming out of the biz as a partner and pass the share to my biz partner until things get better trading wise. my main concern if i go bankrupt personally is the implacation on my business.i have no assets now at all and the biz property is loaned from the bank etc
many thanks
John
1 L A T E S T R E P L I E S (Newest First)
Melanie.n
Posted - 08 July 2009 : 08:57:59 Sorry to hear of your difficulties - your first step would be to speak to your IP - they can advise you as to what your next step should be - If bankruptcy is your only options there is sometimes a clause in the IVA proposal whereby the bankruptcy can be funded by the IP (though not all IVA proposals, but worth a check) either way you need to speak to your IP as if you do intend to seek the bankruptcy route you will need a certificate of failure of your IVAS from the IP before you are able to file for bankruptcy (the judge at your bankruptcy hearing will ask to see sight of this) Please speak to your IP they are there to assist you, not just take your money! There are soemtimes provisions for payments into the IVA to be suspended for a shorttime in similar situations to yours, which will enable you to continue with the IVA when things (if) improve.
If you decide that you have no alternative to bankruptcy you will need to take advice as to what your position is with the business and your share of any 'value' in the business if there is no value there would be no difficulty in your partner taking over your share and continuing to trade, you could then in effect be employed by your partner. It all comes down to the business value and your share of any assets (stock fixtures etc) within the business - as the Official Receiver would expect your 'share'to be used to the benefit of your creditors (if there is any value, of course)
First though speak to your IP
Melanie Nicholas 28 years insolvency experience - 23 of which in the Insolvency Service - Insolvency Manager Jones Giles email me at melanienicholas@jonesgiles.co.uk
