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Bankruptcy & Private Renting
MJ
Posts: 31 Forumite
Hi
Our current business is just in it's 3rd year of trading. But we're having financial difficulties @ the mo. Due to 2 customers not paying us 1 is a Registered Charity that owes us £5,603 & the other is a Pub who owes us £1,164. This has caused us soo many problems as technically we're about a month & a half behind with money, etc. We also owe the VAT man approx £7K. We did have it on an installment plan but we've not had the money to pay it. We've been sent a letter from them saying they want £1,542 paid immediately & the current VAT bill has also come & that's for £2,519.
We are £21K in debt, £12,800 is from the business & the rest is Personal. So we've been paying out more than what we're getting in. We rang BDL & there sending us out some info, etc. We've got a no win no fee case against the Charity through Tradepro (My husband has an acc with them). All we have coming in @ the mo is approx £1,600 so after we've paid everybody got food shopping, etc we'll be left with nothing spare each month. We're going to have to reduce what we're paying out by approx £1,368 each month.
Because we're Private Renting what would happen to the Flat we live in? The car we have is on HP as well. Also we've started up another business totally seperate form the one we're running @ the mo, but it doesn't start trading till next month. Would they try & make that one bankrupt as well?
Our current business is just in it's 3rd year of trading. But we're having financial difficulties @ the mo. Due to 2 customers not paying us 1 is a Registered Charity that owes us £5,603 & the other is a Pub who owes us £1,164. This has caused us soo many problems as technically we're about a month & a half behind with money, etc. We also owe the VAT man approx £7K. We did have it on an installment plan but we've not had the money to pay it. We've been sent a letter from them saying they want £1,542 paid immediately & the current VAT bill has also come & that's for £2,519.
We are £21K in debt, £12,800 is from the business & the rest is Personal. So we've been paying out more than what we're getting in. We rang BDL & there sending us out some info, etc. We've got a no win no fee case against the Charity through Tradepro (My husband has an acc with them). All we have coming in @ the mo is approx £1,600 so after we've paid everybody got food shopping, etc we'll be left with nothing spare each month. We're going to have to reduce what we're paying out by approx £1,368 each month.
Because we're Private Renting what would happen to the Flat we live in? The car we have is on HP as well. Also we've started up another business totally seperate form the one we're running @ the mo, but it doesn't start trading till next month. Would they try & make that one bankrupt as well?
Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 10
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 10
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Comments
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We've also put our names down for a Council House what would happen if we were made bankrupt, etc.
I've been to the Job Centre today to look for work incase the worst comes to the worst. Would i still be able to get a job with a firm, etc or not?Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 100 -
As long as you can afford your rent and there isn't a bankruptcy clause in your tenancy agreement you'll be able to carry on as normal.
Concerning your second business, that depends on whether you are sole traders or Ltd companies. You can carry on as normal if you are a sole trader.Accept your past without regret, handle your present with confidence and face your future without fear0 -
Hi Peachy we were going to have it as a Partnership but not VAT registered.Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 100 -
Wouldn't it be easier to have it as a sole trader for the time being?
:j :j
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fiveyearplan wrote: »Wouldn't it be easier to have it as a sole trader for the time being?
It was mark who wanted it to be a partnership, maybe it would be easier if he was a sole trader instead.
I'll have a word to him when he gets back.
Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 100 -
Mark's agreed to just start the new business as a Non VAT Sole Trader.Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 100 -
I'm currently looking for a job for some extra money, as my mum would look after lo for us.Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 100 -
Good luck finding a job M/J.
:j :j
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We've sent out Letters to our creditors notifying them of our current situation.
Just sorting out the payment offer letters now.Total Debt (£23,069.63) as of Aug 08
Total Debt (£18,726.85) as of Dec 08
Total Debt (£13,264.48) as of Sept 09
Total Debt (£11,966.60) as of Dec 09
Total Debt (£ ) as of Jan 100 -
Good luck with that M/J. Out of all my many creditors, only 2 replied to my offer of lowered payments - the rest ignored it and kept on with the endless phone calls!
:j :j
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