Being self-employed isn’t easy, especially when you’re first starting out. It takes a lot of courage to put a business vision into reality, and hours upon hours of hard work to keep it operating successfully.
However, if for any reason you start to fall behind on your bills, the legal demand notices will start arriving. That’s the time to call Charles Advisory Services for a debt management solution tailored to your particular situation.
Small Business Debt Relief
If you’re the owner of a small incorporated business and can no longer pay your bills, we can help you manage your debt by filing a Division 1 proposal.
A Division 1 proposal is a formal legal proceeding that is governed by the Bankruptcy and Insolvency Act of Canada. Its purpose is to help businesses, as well as individuals with unsecured debts exceeding $250,000, negotiate affordable repayment of their debts to avoid filing for bankruptcy.
In many cases, the business owner may have guaranteed much of the business’s debt, which could lead to the owner becoming personally insolvent. We can guide you through the debt restructuring process and develop a debt management solution that will settle all of your debts properly.
Sole Proprietor Debt Relief
As a sole proprietor, your business is not a separate legal entity from you personally. In other words, your business debt is also your personal debt. We can help you manage your financial situation by filing the appropriate consumer or Division 1 proposal, or with a debt consolidation solution.
If your debt is under $250,000, we can help you by filing a consumer proposal. Consumer proposals are offers for modified payments we make to your creditors on your behalf. Offers can vary from making lower payments over a longer period of time, to paying only a percentage of what you owe.
For unsecured debts exceeding $250,000, filing a Division 1 proposal would be necessary. This procedure is similar to that of a consumer proposal, but is simply designed for a higher debt load.
A debt consolidation solution might be an option as well. If you qualify for a loan, we’ll match you with a reputable lender who will quickly pay your creditors, saving you from the credit consequences of a consumer or Division 1 proposal or bankruptcy filing.
You’ll simply pay back your lender, often at a lower interest rate than you’re paying now, until your debt is cleared. Your current creditors will appreciate being repaid in full right away, and may be more likely to extend you credit in the future.
No matter what your situation is, we’ll look at every possible scenario and provide firm and steady guidance throughout the research, planning, and deployment phases of your customized debt repayment solution, and give you advice on how to start rebuilding your credit right away.
Small Business and Sole Proprietor Insolvency
If your business is no longer profitable, owes more money than it brings in, or keeps needing investments from your personal savings, it might be time to consider closing the company.
Bankruptcy is an option when you cannot secure any more funds to pay debts, or your creditors reject your consumer or Division 1 proposal. We can start the bankruptcy process right away, giving you instant relief from creditor harassment.
Dissolving an incorporated small business can be complicated. A licensed insolvency trustee since 2004, Robert Charles understands the rules and guidelines set under the Bankruptcy and Insolvency Act of Canada, and will use these guidelines fairly and in a manner that protects your rights.
As a sole proprietor, your business is not a separate legal entity from your personal finances. In this case, many of your personal assets may be exposed upon filing for bankruptcy. We’ll make sure that you’re fully aware of which assets are protected and what may be subject to liquidation.
The Bankruptcy and Insolvency Act of Canada is in place to make sure that the corporate insolvency process is fair, orderly, and above board. The Act itself is fairly complex, as is the insolvency procedure. With our in-depth knowledge of the Act, as well as our vast experience working within its rules and guidelines, we’ll make sure that every provision is explained to you.
Charles Advisory Services handles the entire process for each of our debt management solutions, giving you time to plan your next career move and start earning again to rebuild your financial status.
Small Business and Sole Proprietor Debt Services in Toronto
If it’s time to examine options for small business debt restructuring, sole proprietor debt solutions, or business closure, Charles Advisory Services has the experience and know-how to manage your solution in a way that benefits you the most. Let our team take care of dealing with creditors, liquidating assets, and filing paperwork so you can concentrate on the next step in your career.
Since 2006, Charles Advisory Services has provided Division 1, business debt restructuring, and business insolvency services in Toronto. Founder and Licenced Insolvency Trustee Robert Charles has helped hundreds of individuals, families, and businesses manage their debt situation with the personal service that only an independent licensed insolvency trustee can give. With Charles Advisory Services, trusted corporate debt solutions are just a phone call away.
If your small business or sole proprietorship is in financial trouble and you need to explore a customized debt solution, Contact an insolvency trustee today for your FREE consultation!