I own a day care and am losing many customers to a competitor a few blocks away who wants to see me out of business. Several disgruntled former employees working there. I will find out this week if I'll have enough customers left to make my bills and payroll. I have been taking home very little salary since my husband passed away and I am trying to run on my own. I have 19 employees.
It makes a big difference whether your business is a corporation or a sole proprietorship. If it is a sole proprietorship, then there is no "business bankruptcy"--it's just a personal bankruptcy.
Whether you would lose any assets depends on which chapter you file and what exemptions you have available under applicable law (which, in turn, depends on where you resided for the 2 years prior to filing your bankruptcy case).
Exemptions are "protections" for value in certain assets.
If you are concerned about losing your assets, you can always file a Chapter 13 case and that will avoid the problem.
But you need to have a consultation with a bankruptcy attorney in your area to fully evaluate your options, risks and benefits.
Mark Markus has been practicing exclusively bankruptcy law in California since 1991. He is a Certified Specialist in Bankruptcy Law by the State Bar of California Board of Legal Specialization, AV-Rated by martindale.com, and A+ rated by the Better Business Bureau.
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