Sole prioprietorship and disclosure
October 26th, 2011 by Questions
Due to being over my head with unfiled taxes, student loans, and credit card debts, I’ve talked to a Licensed Insolvency Trustee who has reviewed my options and suggested that personal bankruptcy could be my best option.
The problem is that I’m self-employed. The trustee pointed out that if I operate as a sole proprietorship I am obligated to disclose to clients/customers that I am an undischarged bankrupt. I have no doubt that that will have a negative effect on my ability to make a living. The trustee suggested incorporating a business with someone else as the director (since I can’t while in bankruptcy), but I’m very hesitant to involve someone else in my mess.
Is there any clever, legal way to operate as a sole proprietor and not tell my clients?
Posted from: Alberta