A member of my inner circle criticized me when he discovered we were hosting a webinar about Bankruptcy.
“Why would you associate with something so negative? Your brand is about growth, optimism and realizing the American dream of becoming a successful entrepreneur. You’re sending the wrong message”
That is certainly one way to look at it.
Another viewpoint is to face the fact that businesses fail. And sometimes Business Owners rely upon bankruptcy options to re-group in order to keep their companies going.
We need not look far to find evidence that bankruptcy happens: it is a part of American business life cycle. Take president Trump, for example. He has filed for corporate bankruptcy protection six times. Yet he always seems to land on his feet.
Other Notable Persons Who Utilized Bankruptcy Protection:
- President Abraham Lincoln
- Author Mark Twain
- Automobile Manufacturer Henry Ford
- Hall of Fame quarterback Johnny Unitas
- Hollywood director Francis Ford Coppola
- Television personality Larry King
- Actor Mickey Rooney
- Actor Burt Reynolds
- Actress Kim Basinger
- Entertainer Jerry Lee Lewis
- Entertainer Wayne Newton
- Entertainer M.C. Hammer
- Entertainer Toni Braxton
- Continental Airlines
- United Airlines
In his presentation on selecting the right option for bankruptcy, Bennett Young, attorney and partner at Jeffer, Mangels, Butler & Mitchell, LLP in San Francisco shared ways to know if and when filing is necessary.
Bennett discussed early warning signs of which to be aware and the immediate actions to take to avoid personal liability. Balanced with fiduciary responsibilities, restructuring and insolvency options, business owners can create a transition plan with their attorney, regardless of the route they choose.
Therefore, my dear inner-circle friend and colleague, understanding what happens and what your options are if you do fail or are fighting to keep your company alive, is an important topic to know.
Bankruptcy doesn’t have to be the end of the line.
