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consumer proposal for business

I own a business in Ontario and have about 90K in unsecured debt. I am a sole proprieter. Can I file a consumer proposal?

Posted from: Ontario

One Response to “consumer proposal for business”

A licensed trustee said...

In your case you may file a consumer proposal. Since your business is a sole proprietorship, it doesn’t exist as a separate legal entity to yourself – that’s why you may file a consumer proposal. If it was incorporated, your business could not file – only “people” may file consumer proposals.

The down side to this is, since you and your business are not legally separate, if you file a consumer proposal you must include all of your debts, not just business debts.

Whichever trustee you speak to will explain all of this in greater detail.