My business is going Bankrupt

lilacgirl_2

does it all depend on what we can convince the OR to let us keep?:huh:

what household items will be taken, tv, dining table and chairs etc...?_pale_

if we're not classed as a partnership shall i just petition the BR forms as a joint thing rather than paying 2 separate fees?

will we have to make all business paperwork readily available? invoices, bank statements, purchases etc.. will they want personal bank statements too?

so sooo nervous as we're pretty sure we're going to go down the BR route, we'll probably leave it 1 more week to make sure we know what we risk losing then take the plunge

thanks for all your advice, i know im a pain with all the questions but i had so many questions yet not many answers....:o

maxmycardagain

lilacgirl wrote: »

does it all depend on what we can convince the OR to let us keep?:huh:

like what?

what household items will be taken, tv, dining table and chairs etc...?_pale_

NONE, except the mythical 42" plasma TV, if you have one

if we're not classed as a partnership shall i just petition the BR forms as a joint thing rather than paying 2 separate fees?

Not sure how that works, worth asking your local county court though

will we have to make all business paperwork readily available? invoices, bank statements, purchases etc.. will they want personal bank statements too?

They can ask for statements but they have access to all accounts anyway, they rarely ask for invoice/receipts from the business, Ive not heard of it

so sooo nervous as we're pretty sure we're going to go down the BR route, we'll probably leave it 1 more week to make sure we know what we risk losing then take the plunge

thanks for all your advice, i know im a pain with all the questions but i had so many questions yet not many answers....:o

Dont apologise, it took me 12 months to decide to do it, even then i cancelled 1 date, the OR will be asking what you have in the bank and what debts you are owed, but a mate had £6000 owed on invoices and his OR wasnt interested as he had to allow him to keep trading, which he couldnt without funds

maxmycardagain

have a look here, no shortage of examples!

http://www.gazettes-online.co.uk/browseresults.aspx?geotype=London&categorydocids=1780&lastissuecount=10

maxmycardagain

register here and start completing the forms online

https://www.insolvencydirect.gov.uk/isolv/

blind-as-a-bat_2

Just a quick correction to max,s post re the van HP, some HP companys are starting to put an insolvancy/bankruptcy clause into there agreemants which MAY mean they may not allow it to continue.

As usuall the ones ive seen contain a lot of 'we mays and 'we can', not 'we will', but its something you need to check so your prepared for it if it comes up;)

lilacgirl_2

Thanks for that both;)

how long approx would we be without a bank account? quite a few of our customers pay by cheque so this could see us def go short until another bank account is in place

also we have customers who pay monthly, will they take that money once its paid to us even after 6 weeks (example) after the petition has been filed?

when will someone come to the property to see what goods they could take?:o

maxmycardagain

lilacgirl wrote: »

Thanks for that both;)

how long approx would we be without a bank account?

takes about 10 days to get a new account opened

quite a few of our customers pay by cheque so this could see us def go short until another bank account is in place

do you trade in a trade name or your own name? this can be a problem, but its also possible that the OR may let you keep open an account you use now for this ASSUMING the bank is happy with this

also we have customers who pay monthly, will they take that money once its paid to us even after 6 weeks (example) after the petition has been filed?

well my mate didnt get his taken, its a grey area, but the OR should let you keep it, can you keep the owed figure down? some devious swines would hold invoicing back till after BR, but i wouldnt condone that of course

when will someone come to the property to see what goods they could take

They wont, they ask on the forms for any major purchases recentley or suchlike, but only major expensive items are of interest to the OR, unlike baillifs

The cost of collection+selling far outweighs the proceeds

hope this helps

maxmycardagain

blind-as-a-bat wrote: »

Just a quick correction to max,s post re the van HP, some HP companys are starting to put an insolvancy/bankruptcy clause into there agreemants which MAY mean they may not allow it to continue.

As usuall the ones ive seen contain a lot of 'we mays and 'we can', not 'we will', but its something you need to check so your prepared for it if it comes up;)

also depends how much has been paid off the total debt, if its 90% paid and the vehicle is worth £10K the OR could fancy it, if its 10% paid and £3k he wont, but a trade tool is usually exempt, if the business relied on a trade tool/vehicle then your car is a different case and you can state your case to keep it, but BR wont wipe the HP away, but some HP firms wont bother if the residue value makes it not worth collection to sell at auction

lilacgirl_2

Thanks for all the info, you've really helped!!:T

our business account is in our trade name but debtline lady told me we could get our customers to write it out to my partners name and just use a normal account

our loans and hp stand at:

Van 1 = Fully paid - worth £500
Van 2 = Owe £4200 - worth £6000
Car = Owe £2200 - worth £3500
Business Loan 1 = Owe £13000
Business Loan 2 = Owe £25000
Personal Loan = Owe £18000

Debts stand at £62,400 if all we stand to lose is the car and perhaps keep the paid van to run the business then BR is the route, its scary but maybe the best option for us


If the car is taken and in 6 months time we manage to replace it would OR people expect us to pay them the money instead of putting it towards a used car?

im hoping they'll let us keep it, i need it to get to work and to take my daughter to nursery, im also on maternity leave come august so it'll be a pain if anything

im on the insolvency website now just trying to work through the forms just unstuck where sole trader and partnership is concerned - will let you know how i get on...

thanks again:cool:

maxmycardagain

lilacgirl wrote: »

Thanks for all the info, you've really helped!!:T

our business account is in our trade name but debtline lady told me we could get our customers to write it out to my partners name and just use a normal account

you should instigate that asap, dont forget once BR you can only trade in the same name as when you went BR, but its a bit debatable as to that will cover your trading title or your own name or both if you/oh include both in the BR

our loans and hp stand at:

Van 1 = Fully paid - worth £500
Van 2 = Owe £4200 - worth £6000
Car = Owe £2200 - worth £3500
Business Loan 1 = Owe £13000
Business Loan 2 = Owe £25000
Personal Loan = Owe £18000

Debts stand at £62,400 if all we stand to lose is the car and perhaps keep the paid van to run the business then BR is the route, its scary but maybe the best option for us

Request that the business needs two vehicles, also state the car you need for your work, at £6000 you may not want to keep the van on HP but its obviously the better van, but it would reduce your overheads quite a bit if it went


If the car is taken and in 6 months time we manage to replace it would OR people expect us to pay them the money instead of putting it towards a used car?

get your mum/dad/brother to buy it for you, they can be the OWNER but you be the registered KEEPER on the V5 + insure it, just to be safe

im hoping they'll let us keep it, i need it to get to work and to take my daughter to nursery, im also on maternity leave come august so it'll be a pain if anything

im on the insolvency website now just trying to work through the forms just unstuck where sole trader and partnership is concerned - will let you know how i get on...

I dont think you yourself was ever a s/e sole trader, or you would have registered such with HMRC. most couples just do 2 BR's and fees, and forms

thanks again:cool:

Id guess you will end up doing 2 BR's

Ms Lilac - employed Clerical something

Ms LilacsOH - self/employed carrying on a trade as Joe van sales

i think..........