advice over employment and bankruptcy

mrs_donovan

hi everyone

i'm new here. i'm weighing up all our finance options and have been considering bankruptcy - just some questions first about dh's employment.

1. he is one of 3 directors of their own ltd company with 15 staff. what if anything would happen to the company if we went bankrupt? - i'm kinda thinking it's not pretty!
2. if his company goes bankrupt in this recession are we personally responsible for that debt also?

Thanks very much for all your help

nervousmother

If your husband went BR he would not be allowed to stay on as director of the limited company. Nothing would happen to the company though. Any dividends that your husband was due may be taken by the reciever. He could still work there as an employee

If the limited company went BR the debts would not be your husbands liability. Although investigations may be made if it was thought that there were any wrong doings.

JCS1

Does your DH have any personal guarntees linked to the limited company?

If company goes bankrupt, you would not be liable (except for any personal guarantees) limited companies are seen as a seperate legal entitity.