My wife and I owned a small restaurant as an S-Corporation. We closed in March due to financial failure. We lost everything we invested; virtually everything we had ($240K) We used most of our personal assets to try to keep it going.
The only creditor was our accounting firm. They continually send collection notices and past due bills to the old business (not us personally). Now they are writing that they will turn the case over to a collection attorney. I've written several letters explaining the business obviously no longer exists and there are no company assets of any kind from which to pay them. We have never signed a personal guarantee. We have integrity and owe no one else. But there's just nothing remaining and I'm still job searching. What advice can you give us regarding this situation? What if they ultimately go to court.
We dissolved the business but never declared bankruptcy of any kind.
Hi brewhorizonsinc -
It sounds like you have a very complex situation on your hands. The best advice you can get will come from consulting an attorney.
Has anyone else in the community had similar problems?
Message Edited by JamieD on 09-09-2009 09:58 AM
Hi brewhorizonsinc - It sounds like you have a very complex situation on your hands. The best advice you can get will come from consulting an attorney. Has anyone else in the community had similar problems? Message Edited by JamieD on 09-09-2009 09:58 AM
I agree you should have your attorney contact the accountant. When you closed the business, did you contact the IRS and file a final tax return; your state tax commission, and cancel any business license you might have had? You also need to contact your state or local agency that registers businesses and file the forms that formally close your business. It is possible that if you have missed an agency somewhere the accountant doesn't really consider you to be out of business.
I agree you should have your attorney contact the accountant. When you closed the business, did you contact the IRS and file a final tax return; your state tax commission, and cancel any business license you might have had? You also need to contact your state or local agency that registers businesses and file the forms that formally close your business. It is possible that if you have missed an agency somewhere the accountant doesn't really consider you to be out of business.
Thanks for adding your input BizResearcher! You have surely helped several community members in the Loans, Grants, and Taxes forum.
JamieD | Former Moderator | 9/9/2009 - 9:57 am
BizResearcher | Window Shopper | 9/9/2009 - 1:23 pm
JamieD | Former Moderator | 9/10/2009 - 2:09 pm
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