I owned a seafood trading company, and at one point my wife's father wanted to invest in the company. Which he did 40K, my company did not survive and now I am facing Chapter 7 bankruptcy, I feel guilty about the situation, but there is no way I can pay back that money, at least right now, he is madder than hell, I am filing at the end of the month, I would pay back the money in the future if I am able to no doubt, I have about 1000 bucks to my name and no job right now. What does everyone else out there think??
2007-10-19 13:32:56 · 6 answers · asked by ? 2 in Business & Finance ➔ Personal Finance
If he "invested" 40k into your business then you owe him nothing. It didn't work out and he lost his investment.
If you "borrowed" 40k then yes you owe the money. I would include it in the bankruptcy. And pay him back when you are able to. Keep records of what you pay and never pay with cash.
2007-10-19 15:33:11 · answer #1 · answered by Anonymous · 0⤊ 0⤋
For one thing he is family and should have some advice or feel for you and his daughter. For another he invested in a business not a son in law. So if it was anyone else business what do you think would happen. When you go bankrupt you don't owe him anything. Either would any other business. He is taking this way to personal instead of looking at this as a business. He could of pulled out of the investment any time he wanted. Good Luck!
2007-10-19 20:47:10 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Did he INVEST in your company or did you BORROW money? Both CAN NOT be true. If he invested, he is legally and morally entitled to a share of the profits. If the company went under, his share is zero. If he loaned you money, he is legally in the same boat as any other UNSECURED creditor. Depending on the terms on the loan, you may or may not be PERSONALLY liable. Even if you consider yourself morally liable to pay him back, you can only do the best you can. Feeding you family and keeping a roof over your head takes priority over EVERY debt. Just be sure you are not spending money on "luxuries".
I also recommend www.daveramsey.com and his book "The Total Money Makeover".
2007-10-19 20:47:04 · answer #3 · answered by STEVEN F 7 · 0⤊ 0⤋
Investing in anything is always a risk, but borrowing from family is even worse. Bankruptcy is bad, but you can get back on your feet, and when you do pay back your debt to him. See if you can do odd jobs for him for free, so he can see that you are trying to clear your debt with him.
2007-10-19 20:49:43 · answer #4 · answered by drgnotary 3 · 0⤊ 0⤋
I think you should make arrangements to be out of town at Thanksgiving.
2007-10-19 20:37:04 · answer #5 · answered by Anonymous · 0⤊ 1⤋
should never had taken his money for your bussiness makes for bad blood
2007-10-19 20:42:24 · answer #6 · answered by goat 5 · 0⤊ 1⤋