Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the gd-system-plugin domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /var/www/wp-includes/functions.php on line 6114
Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the it-l10n-ithemes-security-pro domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /var/www/wp-includes/functions.php on line 6114
Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the genesis domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /var/www/wp-includes/functions.php on line 6114
Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the executive domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /var/www/wp-includes/functions.php on line 6114 A blog about debt, credit and bankruptcy
Jen Lee is a debt and credit attorney and owner of Jen Lee Law, Inc., a law firm with offices in San Francisco, San Ramon, and Tracy, California. She is a leading expert on debt, credit, and financial stress, having been featured in Consumer Affairs, US News & World Report, and other national publications. Jen is the creator of several innovative programs to deal with financial stress and rebuilding after financial disaster.
Watch the interview below!
This is just a basic overview and is not legal advice specific to your situation. If you have questions about your rights when it comes to debt and credit, you should speak with an attorney in your area for legal advice. If you live in California or North Dakota and would like to speak with Jen Lee Law regarding your situation, please schedule an appointment.
Marcia talks with credit & debt Attorney Jen Lee about the traps & benefits of business credit. The traps can truly affect your profitability. The benefits cut costs & open the doors to many opportunities. She also shared the facts that almost everyone has or has had credit challenges & to stop hiding from it. Credit can be fixed easier if you ask for help early on. Wait too long and nothing but trouble arises.
Jen is the host of a helpful podcast @ www.mydebttherapy.com. She also has great resources on her site www.JenLeeLaw.com. =================
Join Marcia on her FREE webclass “How To Make Your Business Sale-Worthy….Even If You Aren’t Thinking of Selling It Yet on Wednesday at 6 pm PT. Register @ www.exitwithaplan.com
Please subscribe & ring the bell for reminders about next week’s show.
=================
About Marcia: She is a business growth strategist helping service-based professionals to strengthen their business so that it is worth selling someday. She works closely with her clients to turn their business into an attractive & profitable business asset they can enjoy until they decide it’s time to stop. She helps them get a return on their business investment. Marcia is the CEO of Trajectory Consulting & can be found at www.TrajectoryBiz.com
Curious? Book a complimentary call. (949) 229-2112
Want to connect? Go to www.HeyMarcia.com
This is just a basic overview and is not legal advice specific to your situation. If you have questions about your rights when it comes to debt and credit, you should speak with an attorney in your area for legal advice. If you live in California or North Dakota and would like to speak with Jen Lee Law regarding your situation, please schedule an appointment.
Jen Lee is a debt and credit attorney and owner of Jen Lee Law, Inc., a law firm with offices in San Francisco, San Ramon, and Tracy, California. She is a leading expert on debt, credit, and financial stress, having been featured in Consumer Affairs, US News & World Report, and other national publications. Jen is the creator of several innovative programs to deal with financial stress and rebuilding after financial disaster.
Jen is the co-author of Preventing Credit Card Fraud: A Complete Guide for Everyone from Merchants to Consumers, published by Rowman & Littlefield in March of 2017.
What You Will Learn:
How 70% of Americans have a debt or credit problem, but the stigma around talking about our finances makes us feel alone in our struggles
Why lack of education and major life events are the main cause of bad financial situations
Why we should look at bankruptcy as a tool rather than something to be ashamed of
What the consequences are of filing bankruptcy, and how Jen helps her clients recover
How to successfully rebuild credit after filing bankruptcy
Why reshaping the conversations around finances and offering actionable steps helps build self-esteem and improve overall mental health
Jen’s actionable advice for women looking to take control of their finances today
This is just a basic overview and is not legal advice specific to your situation. If you have questions about your rights when it comes to debt and credit, you should speak with an attorney in your area for legal advice. If you live in California or North Dakota and would like to speak with Jen Lee Law regarding your situation, please schedule an appointment.
The COVID-19 pandemic has had huge impacts on businesses big and small. According to research conducted by Yelp, 60% of businesses have permanently closed as a result of the global pandemic, and more are still struggling to recover.
It can be hard for a business to pick itself back up after huge losses, but it’s not impossible. Here are five ways small businesses can recoup pandemic losses.
Your business plan may have been designed to suit the conditions before the pandemic began, but we live in a different environment now. A review and revision of your business plan may be necessary.
For example, if you own a restaurant and have never had an online presence, you should consider setting aside funds for building a website that can take orders and offer delivery. This, and many other simple modifications, could ensure the continuity of your income despite the pandemic, thus helping your business recover sooner from its losses.
2. Evaluate your financial losses
Research has found that cash flow was the biggest problem for small and micro-enterprises during the pandemic. Proper cash flow management and assessment is key to mapping a recovery plan.
You can start with a detailed study of your cash flow — profit and losses — including records of all transactions, purchases, returns, inventory, rent, salaries, and so on. This will help you keep your eye on the goal to recovery, manage your finances carefully to make up for lost revenue and spend reserves wisely.
3. Hire freelance finance professionals
Many business owners might be hesitant about the cost of hiring professional accountants to help them sort out their finances. However, this is one case where the costs are worth it — and in fact, might not even be too expensive. Antenna founder Brendon Schrader notes that hiring a freelancer allows a small business to find targeted and better qualified talent to address their needs at a much lower rate.
Universities offer courses on finance and business administration online, and this has allowed more people to get the necessary training and qualifications to practice freelance accounting. With proper accounting, this will help you assess how to recover from your losses more accurately.
4. Plan your business expenses in advance
Small business owners need to plan in advance where limited funds will go next and how much can be allocated for certain business needs. Distribute a portion of the funds to go back into the business for capital expenditures, costs to restock inventory, expenses for planned maintenance, salaries, and maybe even funds toward an emergency reserve account for sustaining business operation — just in case another coronavirus variant develops. Planning expenses in advance can help you predict how soon you should be able to regain lost income, and whether full recovery is possible.
5. File for bankruptcy
Bankruptcy isn’t the only method to fix debt, but if you owe a lot of creditors, it’s often the most expedient way. As extreme as it sounds, bankruptcy offers a few benefits to belabored business owners. It can help your credit score go up, and the consolidation of debt can also be helpful. However, declaring bankruptcy and opting for consolidation isn’t a magic bullet, and can come with its own challenges. You can schedule an appointment and consult with us before opting for this route, and we’ll help you determine whether filing for bankruptcy is the best course of action for your business.
Everything in this life comes in cycles. With the worst of the pandemic behind us, it’s high time businesses started thinking about ways forward. The world has started to adapt to the new normal, and with careful work and recovery planning your business may be able to do the same.
Post solely for the use of jenleelaw.com
By Joanne Bella
This is just a basic overview and is not legal advice specific to your situation. If you have questions about your rights when it comes to debt and credit, you should speak with an attorney in your area for legal advice. If you live in California or North Dakota and would like to speak with Jen Lee Law regarding your situation, please schedule an appointment.
And the lesson is…don’t take financial advice from a fashion magazine?
If you have followed me at all, you may notice that I tend to read a lot and like to write or do videos about the bad information I find on the internet. So, here we go.
An article titled, “6 Important Things to Consider Before Filing for Bankruptcy” sounds like it would be right up my alley. Let’s take a look.
#1 – It Affects Your Credit.
Great. That statement is true. However, the explanation that followed got it wrong. The article states that it will affect your credit negatively and will be “significant and swift.” If you already have bad credit, filing bankruptcy makes your score go up. Read that again.
It gets worse. The article then says you are “required by future employers to know of your bankruptcy status.” First of all, that statement doesn’t even make sense. Second, it totally depends on the state you are in, the application, and the type of job you are applying for at the time. Finally, most employers prefer that you not have overwhelming debt distracting you from your job. In fact, qualifying for a job based on credit is often resolved through a bankruptcy filing because now the problem debts have been handled.
#3 (but actually #2) – Different Types of Bankruptcy.
Starts out ok. There are two main types of bankruptcy for consumers, Chapter 7 and Chapter 13. Then, it goes downhill fast. “You will need to sell off non-exempt assets, though, to pay off your debtors.” Where should I start?
First, you don’t sell off non-exempt assets. A Chapter 7 Trustee is assigned to your case when you file and they are the ones who would be responsible for selling non-exempt assets.
Second, YOU are the debtor. You are attempting to deal with your creditors. So, selling your non-exempt assets to pay your debtors makes absolutely no sense. The person who files bankruptcy is a debtor, the people and companies you owe money to are creditors.
Third, most Chapter 7 cases do not involve the sale of assets. An attorney can advise you on assets that may be at risk and often, a different chapter of bankruptcy is selected if there are assets you want to protect from sale.
#3 (the second #3 on the list) – Not All Debts Will Be Wiped Out.
True statement, but the rest is wrong. Yes, child support is not discharged in bankruptcy. However, taxes are often discharged in bankruptcy. Student loans are an interesting area because some can be discharged, but a lot cannot be at this time.
The second paragraph talks about creditors being able to challenge the debt you are discharging and that the court can rule in their favor so that the debt is not discharged. This is extremely rare and it’s usually when some sort of fraud or intentional misrepresentation is involved. This is not your average credit card debt that most people discharge in a Chapter 7.
#4 – It Isn’t a Quick Fix.
Not sure anyone thinks bankruptcy is a quick fix, but it’s often the most efficient fix. This section also talks again about losing assets. Luckily, it does say to talk to a lawyer to make the right decision, which is excellent advice.
#5 – Your Income Matters.
Hmmm. Yes, your income matters when determining if you are able to come up with a plan to pay off debt, whether that’s in bankruptcy or not. Your income matters if you are trying to qualify for Chapter 7 and have consumer debts. Your income comes into play in a Chapter 13 when we determine how much you have to pay towards debt. But the last sentence, “The more you make, the better off you will be in bankruptcy…” is wrong. Timing of the bankruptcy filing when you have lower income can help qualify for Chapter 7 or have a lower payment in Chapter 13. Talk to a lawyer, please.
#6 – There Are Other Ways.
Of course there are. But, which way is best for you and your goals? Because negotiating with 10 creditors and keeping track of 10 payment plans may be more stress than it is worth. Consolidation can also be helpful, but can also negatively affect your credit score. There are also a lot of companies out there willing to take a lot of your money to put you in a debt settlement program, which is actually worse on your credit than bankruptcy. But, no one tells you about that feature.
This is just a basic overview and is not legal advice specific to your situation. If you have questions about your rights when it comes to debt and credit, you should speak with an attorney in your area for legal advice. If you live in California or North Dakota and would like to speak with Jen Lee Law regarding your situation, please schedule an appointment.