Business Bankruptcy
Posted in Business about 1 year ago, 0 replies
I have a silent partner who invested $50,000 when the business was purchased in 2005. We are the only directors and shareholders of the company. My husband and I signed a promissory note with the bank, but he is not involved with the company in any other way. The store has been paying back the loan, which currently sits at $100,000.
My questions are:
Apart from the bank loan, can the store's creditors come after either my husband or my silent partner?
Can they come after me personally?
Are our personal assets, (RRSPs, mutual funds), vehicles and our home (assessed at $184,000) at risk?
Will a business bankruptcy harm my personal credit rating?
Is there any course of action that I should be taking now (or advising my business partner on) to protect ourselves?
Thanks.
submitted by Diane in Vancouver, BC