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Resposibility of the bankrupt

What are the bankrupts` responsibility (meetings, contact calls, etc)?
Can I continue to operate my sole proprietor business during bankruptcy? What about after bankruptcy?
Inconsistent income leaving me up to 90 days without income (if I`m allowed to continue running my business), how does this affect the bankruptcy?

Posted from: Ontario

One Response to “Resposibility of the bankrupt”

A licensed trustee said...

Very breifly, a bankrupt is responsible to report their income and expesnes every month that they remain in bankruptcy to their trustee, based on their income they will be required to make a payment to their trustee, they are required to attend two financial counsleing sessions within set timelines, they are vrequired to provide their trustee with the infomration to file their income taxes, and of course they are required to co-operate with their trustee. There are other duties in order to actually file, but you need to speak to a trustee in order to go through the full list.

Yes, you may operate a sole proprietorship if you file for bankrutpcy and certainly after your bankruptcy has been completed. You’ll want to take a couple of years of finacila records, including a breakdown of income by month, to your trustee BEFORE you file so they can help you determine how the business may be affected by filing.