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Achieving debt relief possible for entrepreneurs with bankruptcy

By this point, a significant number of people understand the important and beneficial role that bankruptcy can play in achieving debt relief, but those benefits are not always as well understood by small business owners. When the economy tanked, entrepreneurs and small business owners were some of the hardest hit, and their need for debt relief rose to new and possibly unprecedented heights. However, financial problems and overwhelming debt is not isolated to times of economic crisis, and entrepreneurs struggling under the weight of debt can still benefit from bankruptcy.

An entrepreneur outside of Washington started his business of buying and flipping houses when he was only 20 years old, and it did not take long before he was worth approximately $2 million. Sadly, soon after, the housing bubble popped, and his business began to take hit after hit as he lost properties left and right. As the properties disappeared, so did his income. After building a successful and thriving business that netted him millions, he found himself facing bankruptcy.

After filing, he still had ownership of his personal vehicle and his house. Ready to start over fresh with his previous debts far behind him, he went back to the drawing board and took another look at strategies for re-entering the real estate market. With the second chance bankruptcy allotted him, he rebuilt his business and then even started a second coaching business in 2013.

Far from being the end of the road, bankruptcy provided the much-needed clean slate for him to rebuild his business and his life, which is an often misunderstood benefit of the process. While bankruptcy can affect and often does affect a person's credit rating, by the time bankruptcy is necessary, there is a good chance that it is not at its best anyway. By achieving necessary debt relief, small business owners and entrepreneurs in Washington can move forward with their lives and on to brighter tomorrows.

Source: nerdwallet.com, "How 3 Entrepreneurs Bounced Back From Bankruptcy", Claire Tsosie, Sept. 4, 2015

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