interview with O.R for the self employed

thenumptys

I wondered if any body had advice and or experiences of being self employed, we have been for about 7 years. I spoke to somebody today at business debtline and felt much worse afterwards. From making the decision to go B.R within the last few days being 110k in debt and seeing no way out. I am now feeling that this would be the worst thing we could do.
The inland revenue are investigating my close of business in 2005, and I am getting grilled, or have been for the past year about, that. I don't have any accounts for the past 2 years firstly because in 2006 we tried to open a business that didn't work, and thats where the trouble & debts began really, add to that my sister in law dying and my husband being depressed and unable to cope with general life and money etc, we have been running uphill really since then, we have 2 properties for sale and they have been for 2 years, we hoped to pay of our debts with the proceeds , but with housing market being the way it is,there is no chance we will get what we first expected to when we originally put them up for sale. I am more than happy for the equity to go towards paying peple off, and we haven't run up these debts deliberatly. I really don't know what to do, as I feel now that we will have to answer to somebody that will think we have acted in a criminal manner, running up all of these debts just to go bankrupt. We went on holiday last year, but we felt like after the year we had had, we really needed it but will we have to tell the O.R about this? and made to feel like we shouldn't have done the holiday? This time last year we were still hopeful that we would sell up and be home and dry by now!!
Anya help or advice from anybody self employed who has had to answer to the O.R about how exactly they arrived in this awful position would be great.
I feel penalised for not being the greatest buisness woman in the world, but sometimes you have to take chances, don't you?

tigerfeet2006

Can't offer any help with this but just wanted to offer some cyber ((hugs)) and I am sure someone will be along soon to help.

thenumptys

Thanks for that, I do feel like I am on the edge of a deep dark hole...
I have spent most of the day talking to business debtline they scared me a lot! and somebody at the insolvency.org( or whatever they are called, the official site) who was actually very nice, but couldn't really say exactly what the o.r would want from me! but did make it seem less scarey, now I am really confused

philnicandamy

bit of a read here

http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/interviewedbytheOR.pdf

and more bits and bobs here

http://www.insolvency.gov.uk/guidanceleaflets/guides.htm#1

k2nga

To be honest you are high and dry unless there is proof of any fraud taking place in the company.

To be honest if you cant meet your debts i think you would be better off taking a chance with the OR.

At the moment you are in real debt which wont help your future and you will have the revenue on you back whatever you do as thats what they do but at least this way they may have to deal with the OR and not you. But at least by being BR your debt will be behind you and you can then take one thing at a time.

LilyBart

Don't panic, Numptys. But do please call CCCS and book a telephone appointment to talk to one of their self-employment specialists too.

It's really helpful to talk to an advisor from more than one agency, as every person you speak to can shed a little more light on one aspect that another person may have over-looked. Just as ORs are only human, so are the advisors. It could be that had you spoken to someone with a more reassuring manner, you wouldn't be feeling this bad right now.

There is a world of difference between making mistakes in your business and actively setting out to deceive people, and though I know it's really hard to absorb this, you must understand that *whatever* you think you've done wrong, the OR will have seen much worse.

You have to calm down and keep taking as much advice as possible. Do your research and try and get your accounts in order. I know how horrible the moment is when you face up to the fact that bankruptcy is the only option. But it DOES get better. Treat it as a project and concentrate on learning as much as you can about it.

Regarding last year's holiday, that was last year. If you were to book a first class flight to Vegas for the week before your court appearance, that would definitely look bad. Going on holiday last year, especially after all the difficulties with your sister-in-law and your business, just looks normal.

Lily

ps Stop worrying about the interview - that's miles off! Get the 06/07 and 07/08 accounts sorted out first, then the forms. And phone your local court so you know what deadline you have to meet.

thenumptys

thanks so much lily, I actually had a better nights sleep last night, which makes a difference, I have spoken to the local court this a.m and the appointments can be same week, so no waiting there. the local O.R is being refurbished so it is just telephone interviews after the bankruptcy hearing unless firther info is required, we are putting our own accounts together this weekend, putting as much relevant info together as possible in case it is asked for. I am learning very quickly and being prepared is our best option and also good for our own piece of mind, there would be nothing worse than not being able to answer questions when put on the spot. It just throws you and makes you too nervous to think straight! We have also decied to stop paying anything that isn't necessary, just utilities as they will still be supplying us where ever we live. We need to get together quite a bit of money, £1000 for the joint BR petition and rent will be approx £1000 per month, so at least one months rent in advance plus any extra 'dog deposit' no pun intended ! so approx £2500 unless we are unlucky and need to pay 6 months in advance, which will be some serious money but given a few months saving not impossible. We are also going to start looking at rentals , we have 2 major problems here, 2 big dogs and the impending B.R do we tell the landlord up front or if we find somewhere that will take the dogs, get in and tell the LL when we are actually B.R. hoping that as model tennants who can pay on time -they won't throw us out?
I am now going to get on to C.C.CS as you suggested, the more info the better
Even getting your thoughts down here is helpful and I would encourage anybody who is reading and needs help to do so, it really does make you feel better today looks so much better

penny-less_4

Hi there!

Have been through a similar experience. Was in business until end of April this year. Went BR on 7th May. Have had interview with OR, etc, and am still alive! (In fact, doing a bit better than before). A very difficult decision to make. Feel free to contact me and I'll try to answer any questions you may have, but remember that the best advice comes from the likes of CCCS.

Good luck with everything. Just remember to keep smiling cos it helps a lot!

Kind regards,
Penny x