The term bankruptcy literally means "broken bench". In days gone by, when a debtor couldn't pay his/her bills, they would break his/her workbench in two as a warning to other tradespeople and to punish the debtor.

Today, bankruptcy is a tool that can legally help your business to survive or allow you to discharge the debts of your business.

Are your business debts overwhelming you? Are you worried about how you’re going to pay your staff and bills next week? Are you seriously starting to think about bankruptcy as a possible solution to your woes? Well, before you take what is basically an irreversible step, be totally clear on what bankruptcy is and how it affects you for now as well as long term.

Bankruptcy is a way of dealing with the debts you cannot pay. It should only be looked at by you as the business owner in a situation where you have made every effort to keep your business floating and pay your creditors, but without success.

Only contemplate it when you believe that you cannot meet your ongoing financial liabilities and you are sure your financial position is unable to be salvaged. Becoming bankrupt is a very serious decision and you must only approach it as a last resort.

If your business is in danger of heading into problems that could lead to its demise, or your financial worries are such that it may lead to your business or personal bankruptcy, then seek urgent advice from an experienced lawyer and accountant as soon as possible.

Why?

Because there may be other options available to you that would avoid bankruptcy and help resolve your financial dilemma.

Bankruptcy may offer you relief from most of your debts but remember, you will be subject to many restrictions and limitations. As well you lose ownership of your property to a court official known as the Official Assignee.

Filing for bankruptcy is not the only way out of your precarious situation. If you can work out an arrangement with your creditors without having to go to court, then do so as you would be much better off. In court, your "dirty laundry" may become revealed for everyone to see and that can be embarrassing.

So what is the best way to AVOID bankruptcy?

Firstly, be clear on your financial situation? Are you insolvent? Insolvency means that what you owe (your liabilities) are more than what you own (your assets). That is, your money isn't coming in fast enough to meet your bills when they fall due.

Secondly, investigate all other options.

Here are 9 alternatives to filing for Bankruptcy:

1. Sell off assets
   If you are getting financially strapped and starting to run into serious money problems then consider selling off assets you may have to clear your bills.
   

2. Reduce your costs
   If things are starting to look precarious, then be realistic. See what you can do to reduce all expenditure and get all non-essential costs out of the way. For example, if you have goods on hire purchase that you cannot afford, then let the goods be repossessed and stop the continuing payments
   

3. Budgeting.
   Budgeting means sitting down with an adviser, such as an accountant, and working out a plan to enable you to live and progressively pay off all debts. A good budget strictly adhered to, would soon pull you "out of the cart" if you are prepared.

4. Refinancing.
   You may like to look at refinancing some assets and using the surplus cash to pay off creditors who can cause problems by lodging a creditor's petition for bankruptcy if they are not happy.
   

5. Creditor's pool.
   You can always try and arrange with your creditors to clear up their debts by instalment payments. Here you will need to see all your creditors and create a creditors pool, run by an accountant or solicitor. You will pay a certain amount of money into the pool and that money can be distributed to the creditors until their debts are paid.
   

6. Compromise.
   You can reach an agreement with your creditors on a proposition where their debts can be fully settled. There are a number of ways to agree on a compromise with creditors.
   

7. Instalment Order.
   This is an order made by a Court allowing you to pay back debts in easy stages without the threat of further legal action, while that order is in force. This is probably a good option, because it forces your creditors to accept the arrangement as long as someone the court appoints properly monitors it.
   

8. Continue trading.
   If your business is temporarily insolvent then you should look at ways where it can still continue trading and hopefully generate good cash flow to meet your commitm
   Switching Careers - 7 Key Steps
   Are you thinking about switching careers? If you are, you're not alone. Most Americans switch careers three times in their lifetime. Nevertheless, switching careers is scary. And it's especially paralyzing the older you get. But making a career switch is very possible and much more common than you might think. Before you're ready to leap, realize that it's a heavyweight decision that deserves some time and solid thought. Here are seven steps to help you on your way.1. Gain insight from your current situation.When considering a career switch, the first thing you should do is learn from your current situation. To do this, take a step back and study what you do for a living today and why y
   y your creditors, but without success.

   Only contemplate it when you believe that you cannot meet your ongoing financial liabilities and you are sure your financial position is unable to be salvaged. Becoming bankrupt is a very serious decision and you must only approach it as a last resort.

   If your business is in danger of heading into problems that could lead to its demise, or your financial worries are such that it may lead to your business or personal bankruptcy, then seek urgent advice from an experienced lawyer and accountant as soon as possible.

   Why?

   Because there may be other options available to you that would avoid bankruptcy and help resolve your financial dilemma.

   Bankruptcy may offer you relief from most of your debts but remember, you will be subject to many restrictions and limitations. As well you lose ownership of your property to a court official known as the Official Assignee.

   Filing for bankruptcy is not the only way out of your precarious situation. If you can work out an arrangement with your creditors without having to go to court, then do so as you would be much better off. In court, your "dirty laundry" may become revealed for everyone to see and that can be embarrassing.

   
   So what is the best way to AVOID bankruptcy?

   Firstly, be clear on your financial situation? Are you insolvent? Insolvency means that what you owe (your liabilities) are more than what you own (your assets). That is, your money isn't coming in fast enough to meet your bills when they fall due.

   Secondly, investigate all other options.

   Here are 9 alternatives to filing for Bankruptcy:

   1. Sell off assets
      If you are getting financially strapped and starting to run into serious money problems then consider selling off assets you may have to clear your bills.
      

   2. Reduce your costs
      If things are starting to look precarious, then be realistic. See what you can do to reduce all expenditure and get all non-essential costs out of the way. For example, if you have goods on hire purchase that you cannot afford, then let the goods be repossessed and stop the continuing payments
      

   3. Budgeting.
      Budgeting means sitting down with an adviser, such as an accountant, and working out a plan to enable you to live and progressively pay off all debts. A good budget strictly adhered to, would soon pull you "out of the cart" if you are prepared.

   4. Refinancing.
      You may like to look at refinancing some assets and using the surplus cash to pay off creditors who can cause problems by lodging a creditor's petition for bankruptcy if they are not happy.
      

   5. Creditor's pool.
      You can always try and arrange with your creditors to clear up their debts by instalment payments. Here you will need to see all your creditors and create a creditors pool, run by an accountant or solicitor. You will pay a certain amount of money into the pool and that money can be distributed to the creditors until their debts are paid.
      

   6. Compromise.
      You can reach an agreement with your creditors on a proposition where their debts can be fully settled. There are a number of ways to agree on a compromise with creditors.
      

   7. Instalment Order.
      This is an order made by a Court allowing you to pay back debts in easy stages without the threat of further legal action, while that order is in force. This is probably a good option, because it forces your creditors to accept the arrangement as long as someone the court appoints properly monitors it.
      

   8. Continue trading.
      If your business is temporarily insolvent then you should look at ways where it can still continue trading and hopefully generate good cash flow to meet your commit
      If The Shoe Fits, Wear It
      Articles Under Author Name: Charles VaughnIf I Knew Where I Was Going All Along, How In The World Did I Get HereDon't Know What Motivates You? Think Back to When You Were a KidHello Again!IN my past articles I have written about what motivates (the innate gifts he has) a person and how the roots of that motivation can be traced back to your childhood. I pray that this article injected a bit of excitement in some of you in searching for what you want to do when you grow up; whether you are 18, 23, 25, 30 or+.The second article followed up with learning how to search for that perfect career for you by examining that career and verifying that you will be utilizing the major gifts tha
      your precarious situation. If you can work out an arrangement with your creditors without having to go to court, then do so as you would be much better off. In court, your "dirty laundry" may become revealed for everyone to see and that can be embarrassing.

      
      So what is the best way to AVOID bankruptcy?

      Firstly, be clear on your financial situation? Are you insolvent? Insolvency means that what you owe (your liabilities) are more than what you own (your assets). That is, your money isn't coming in fast enough to meet your bills when they fall due.

      Secondly, investigate all other options.

      Here are 9 alternatives to filing for Bankruptcy:

      1. Sell off assets
         If you are getting financially strapped and starting to run into serious money problems then consider selling off assets you may have to clear your bills.
         

      2. Reduce your costs
         If things are starting to look precarious, then be realistic. See what you can do to reduce all expenditure and get all non-essential costs out of the way. For example, if you have goods on hire purchase that you cannot afford, then let the goods be repossessed and stop the continuing payments
         

      3. Budgeting.
         Budgeting means sitting down with an adviser, such as an accountant, and working out a plan to enable you to live and progressively pay off all debts. A good budget strictly adhered to, would soon pull you "out of the cart" if you are prepared.

      4. Refinancing.
         You may like to look at refinancing some assets and using the surplus cash to pay off creditors who can cause problems by lodging a creditor's petition for bankruptcy if they are not happy.
         

      5. Creditor's pool.
         You can always try and arrange with your creditors to clear up their debts by instalment payments. Here you will need to see all your creditors and create a creditors pool, run by an accountant or solicitor. You will pay a certain amount of money into the pool and that money can be distributed to the creditors until their debts are paid.
         

      6. Compromise.
         You can reach an agreement with your creditors on a proposition where their debts can be fully settled. There are a number of ways to agree on a compromise with creditors.
         

      7. Instalment Order.
         This is an order made by a Court allowing you to pay back debts in easy stages without the threat of further legal action, while that order is in force. This is probably a good option, because it forces your creditors to accept the arrangement as long as someone the court appoints properly monitors it.
         

      8. Continue trading.
         If your business is temporarily insolvent then you should look at ways where it can still continue trading and hopefully generate good cash flow to meet your commit
         Site Promotion Tools - How Many Sites Do You Need?
         Site promotion tools are an important element in making sure you give online users the greatest opportunity to visit your website. It is likely you have infused your site with Search Engine Optimization (SEO) strategies, and you have included site link information in any forum posts and blogs. You might have gone so far as to develop Pay Per Click (PPC) advertising. You are relatively comfortable with the conversion rate based on site visitation. You may even believe you’ve done all you can do, but there may be a strategy you haven’t considered.Some innovative site promotional experts are discovering the effective use of multiple websites that are effectively driving traffic to their primary site. This strat
         stic. See what you can do to reduce all expenditure and get all non-essential costs out of the way. For example, if you have goods on hire purchase that you cannot afford, then let the goods be repossessed and stop the continuing payments
         

      9. Budgeting.
         Budgeting means sitting down with an adviser, such as an accountant, and working out a plan to enable you to live and progressively pay off all debts. A good budget strictly adhered to, would soon pull you "out of the cart" if you are prepared.

      10. Refinancing.
          You may like to look at refinancing some assets and using the surplus cash to pay off creditors who can cause problems by lodging a creditor's petition for bankruptcy if they are not happy.
          

      11. Creditor's pool.
          You can always try and arrange with your creditors to clear up their debts by instalment payments. Here you will need to see all your creditors and create a creditors pool, run by an accountant or solicitor. You will pay a certain amount of money into the pool and that money can be distributed to the creditors until their debts are paid.
          

      12. Compromise.
          You can reach an agreement with your creditors on a proposition where their debts can be fully settled. There are a number of ways to agree on a compromise with creditors.
          

      13. Instalment Order.
          This is an order made by a Court allowing you to pay back debts in easy stages without the threat of further legal action, while that order is in force. This is probably a good option, because it forces your creditors to accept the arrangement as long as someone the court appoints properly monitors it.
          

      14. Continue trading.
          If your business is temporarily insolvent then you should look at ways where it can still continue trading and hopefully generate good cash flow to meet your commit
          Online Auctions Help Sell Your Merchandise
          EBay provides internet users with a forum which emulates a flea market or garage sale where buyers and seller come together to conduct business. Currently there are 25,000 people that earn a full time income on eBay and another estimated 250,000 people earning a part time income by selling at online auction sites like eBay, Yahoo Auctions and Amazon. There is a lot more to selling when you decide to sell on auctions sites, it is not just about posting and waiting for someone to buy your product.Many people believe you can go to a drop shipper or a wholesaler and purchase products and sell them on eBay and make tons of money doing this. Have you ever sold any items on the internet auction site eBay, if not re
          editors pool, run by an accountant or solicitor. You will pay a certain amount of money into the pool and that money can be distributed to the creditors until their debts are paid.
          

      15. Compromise.
          You can reach an agreement with your creditors on a proposition where their debts can be fully settled. There are a number of ways to agree on a compromise with creditors.
          

      16. Instalment Order.
          This is an order made by a Court allowing you to pay back debts in easy stages without the threat of further legal action, while that order is in force. This is probably a good option, because it forces your creditors to accept the arrangement as long as someone the court appoints properly monitors it.
          

      17. Continue trading.
          If your business is temporarily insolvent then you should look at ways where it can still continue trading and hopefully generate good cash flow to meet your commitments. If you can, it is good to trade your way out of your financial difficulties. Most businesses can do this unless they are so far gone that recovery is impossible. For you to continue trading it is recommended that you talk to a professional adviser who can act as a guidance counsellor or coach, so you don't get into deeper problems.
          

      18. Bankruptcy.
          If you have tried all other actions and they have not been successful or agreed to by your creditors, then you should consider filing for voluntary bankruptcy in order to stop the deterioration of the situation.

      If you can avoid bankruptcy in any way at all - do so. If all else fails and it looks like you or your business is at the end of the road – talk to an accountant and lawyer immediately.

      Best of luck.