In today’s world of economic recession, it is a fact that all creditors face severe financial pressure and look for their best interests to stay alive and not drown themselves in the financial mess. So, the moment they find your firm crumbling down and you are on your way down, they will stop extending help to you and even, your suppliers might come to know about that and stop their supplies and thus bringing your dream to a halt. So, keeping a few things in mind to protect options is very important.
Limited personal exposure – It is quite common that business owners sign personally for the products and services. They stay personally liable and unfortunately, when your company goes down, you literally tend to lose everything. Personal liabilities should be cleared and the best way to tackle this is to use personally guaranteed business cards to protect options.
Business bullet-proofed – You can use any free, clear business assets to secure extra financing or you can also get a supplier to file a “friendly” lien on all the assets. This will protect the business opportunities from being seized in any unfortunate circumstances like unpaid bills or such leading to judgments.
Cash in the bank account protected – Sometimes, in case of any judgment, a creditor’s attorney might resort to attaching (freezing and removing the claimed money from) the bank account. But Delaware law prohibits attachment of this to any bank account. So, opening an account in a bank in Delaware or if you are from any other state, a bank which has a branch in Delaware would be a safe option to go.
Clear communication with the suppliers – You can ask for more time for payment to your suppliers, but don’t be dishonest in your request or you might end up on the wrong end of the law losing the business opportunities.
Dr. Mary E. Waters is an author, speaker, business consultant. She is the author of “Easy Business for Women with Little or No Money.” She strives on helping people to start their own business with little or no money. For many years, she has been helping people make their dreams of becoming a successful business owner come true! The official SelfGrowth.com Guide for "Business Start Up." Easy Business for Women with Little or No Money ISBN: 0759605963, ISBN: 9780759605961, ISBN: 780759605978, Mail to: email@example.com,
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