Bankrupcy and your business

[SUPERSTARDJ01]

Hi,

Myself and my partner might be filing for bankrupcy soon and she is a newly registered childminder so is self emplaoyed, will bankrupcy affect her business?

Also I know the fee is £400 each for court costs but i'm only on £15,500 p/y (I might be made redundant next week but not for sure yet) and she has only just started in last 3 weeks childminding and only on so far £3,325 p/y, would this qualify us for help towards court fees?

Cheers

[Adam Davies]

Hi
Bankruptcy should not affect your wifes business as long as she has no business debts and is not a company director.
The fee is actually £485 each and you will only receive a reducton if you are on benefits
Regards

[go_4_broke]

Hi Carl

What Andy says is basically right but the Court has some discretion and if your wife fills in the appropriate income and expenditure form from the Court she might get the reduction based on those very low earnings figures, it's worth a try anyway.

Also if you are made redundant and claim Jobseekers you might still not be automatically entitled to the reduction unless you are on Income-Based Jobseekers which would not normally be the case unless you had a very intermittent work history.

Best Regards, Simon

[Reviva UK]

Hi

If you are on benefits then the court fee can be reduced by up to 150 off. this is means tested so you may pay anything between the 335 and 485 each.

If your wife is self employed and is TRADING AS rather than a Ltd company ( I suspect she is) then it will not effect her job. However it will effect her business bank account and any debt she has wether business or personal will need to be included in the Br.

I have many clients who have continued to trade after Br and without he burden of debt are doing fine.

[Reviva UK]

Sorry I forgot to say that there are some important rules about trading as after bankruptcy.

the key one is that you cannot change your business name without the express permission of the official receiver