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Filing personal AND corporate bankruptcy; I am the only shareholder in a Sub S corp.

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roddhall

Junior Member
Wisconsin

I am the sole shareholder in an S corporation. Neither the corporation nor I personally have any assets, but lots of debt. (When I say no assets, I truly mean zero assets except my auto, clothing, some household furnishings and tools. The corporation has NOTHING.) Most of the debt is "business debt" but I personally guaranteed almost all of it. I plan to file for liquidation bankruptcy in Wisconsin. 1) Should I file bankruptcy twice; once for the corporation AND again for me personally, or will the personal filing cover the corporation too? 2) If I have to file twice, should I file them both at the same time, or do I file one, bring it to conclusion, then file the other one? 3) If I have to file them sequentially, which should I file first? 4) If I have to file twice, can I use Chapter 7 for both the corporation and the personal?
 


GaAtty

Member
GaAtty

If you are the guarantor on most of the debt, then use your money to file a Ch. 7 for you personally. At this time, there is really no need to file for the company.
 

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