what happens to my c corp if i file personal bankruptcy? The company is successful, but cannot survive withou?

My shares hold no value because the company couldn’t survive without me.
We are filing due to a failing S corporation we are also involved in.

Not clear why a successful company couldn’t issue you sufficient dividends to overcome your insolvency, or offer to liquidate your shares in exchange for cash.

Just because you’re in personal bankruptcy should not have any effect upon a C corp in which you’re a shareholder; the two are completely separate legal entities: you and the company you invested in.

Published on 26 Nov 2009 in personal bankruptcy, by admin

2 Comments >>

This entry was posted on Thursday, November 26th, 2009 at 11:06 am and is filed under personal bankruptcy. Follow the comments through the RSS 2.0 feed. You can post a comment, or leave a trackback.

Comments:

  1. quizzard123 Said:

    If the company is successful, why do you need to file bankruptcy?
    References :


  2. bcnu Said:

    Not clear why a successful company couldn’t issue you sufficient dividends to overcome your insolvency, or offer to liquidate your shares in exchange for cash.

    Just because you’re in personal bankruptcy should not have any effect upon a C corp in which you’re a shareholder; the two are completely separate legal entities: you and the company you invested in.
    References :


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