For small business owners, the decision to file for bankruptcy is often scary, stressful, and intimidating. It’s a critical choice that can have far-reaching implications for both the business and the personal lives of the owners and any employees who work for the business. Sometimes, it’s 100 percent the right choice. But it all depends on how you approach it.
Understanding the Truth of Bankruptcy
First off, let’s tackle the stigma. Bankruptcy often comes with a shadow of failure, but in reality, it’s a legal tool designed to provide a fresh start. It’s about making a strategic choice to protect what can be saved and to rebuild on a more solid foundation.
As bankruptcy attorney Rowdy G. Williams explains, “We need to get over the notion that bankruptcy is embarrassing or a black mark on who you are as a person. Bankruptcy is a legal and ethical tool that exists to help people escape bad financial situations. See it as a tool – not a mistake.”
When you see bankruptcy as a tool – much like debt can be a tool – it starts to open you